Switzerland, which is often referred to as the most gold friendly country in the world, made its democracy work. A right-wing party succeeded in collecting some 106,000 signatures. This referendum was submitted to the federal authorities with the aim to stop the sale of gold reserves by the Swiss National Bank and to repatriate the gold that is stored in the US.
Additional points that are worth highlighting:
- The Swiss central bank should keep minimum 20% of its assets in gold which is twice as high as currently held.
- At least 100,000 signatures were needed for a valid referendum. After 18 months, the activists succeeded to meet the minimum requirement.
- Promoters say higher gold reserves will boost the SNB’s credibility.
- Politician Stamm Luzi said: “Gold reserves guarantee the stability of the Swiss franc. They ensure that private savings, salaries, pension keep their value.”
- The spokesman of the Swiss National Bank reacted as follows: “The SNB has considerable concerns, in particular of a monetary policy nature, about the initiative’s demands.”
The Swiss National Bank currently holds some 1,040 tonnes of gold reserves. They have sold more than 1,500 tonnes in the past decade.
Meantime the propaganda machine was put to work. In what is considered a world premiere, an unseen event heretofore, a journalist was allowed to record some images in Swiss national vaults. Although the reporter acknowledges he had no clue about his location, he was able to create some footage. The pictures are not very exciting, and it is not clear if these are “THE” Swiss vaults. But let’s not be arrogant and assume this video is for real. Watch the video.