Why are Russian Citizens Hoarding Gold?
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Here’s Why Russians are Hoarding Gold:
They are rightfully worried about the war, and its effects on their money. Meanwhile Russia has lowered tariffs on Gold to incentivize domestic ownership. Russian leaders want this..
Therefore, Russians are hoarding it out of fear, but for the right reasons. China is also motivating its citizens to do the same, for patriotic reasons. We are now in the get your population to own the Dollar replacement phase of BRICS dollar dumping.
A coming out party is in the works for a Golden Yuan of sorts. We are sure of it.
Ukraine war turns Russia into a nation of gold bugs
Demand for gold coins and bars jumps as VAT on purchases is scrapped and foreign currency becomes scarce
After Russian President Vladimir Putin announced the country’s invasion of Ukraine last February, Natalia Smirnova’s phone started ringing off the hook. The financial adviser’s Russian clients were panicking. “Should I buy gold?” one asked her. “If worst comes to worst, at least I can bury it.”
That attitude was shared by many — and turned Russia into an unexpected nation of gold bugs almost overnight.
Demand for gold bars and coins last year grew faster in Russia than in any other country, rising to nearly five times the level of the previous year, according to data from the World Gold Council.
While Russia has long been one of the world’s largest gold producers, accounting for almost a tenth of global production, its retail investors have historically shunned the metal, partly due to a 20 per cent value added tax on purchases of bars.
People usually turned to dollars and euros during times of trouble. But that has all changed.
“Private citizens are looking for a way to save money, and euros and dollars are in short supply, so the popularity of gold has surged,” said Vitaly Nesis, chief executive of Polymetal, an Anglo-Russian gold producer. “As long as we experience geopolitical instability, the demand for gold may be significant.”
The switch to gold has been strongly encouraged by the Russian government. END EXCERPT: SOURCE HERE ( gated)
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