Mongolia's central bank purchases precious metals to increase forex reserve

Source: Xinhua | 2020-03-03

Mongolia's central bank bought a total of 4.3 tons of precious metals in the first two months of this year as it strives to ensure economic stability by consistently increasing foreign currency reserves, it said in a statement released Monday.

More than half of the total precious metals purchased from legal entities and individuals is gold, the Bank of Mongolia said.

Purchasing precious metals, especially gold, is said to be one of the key instruments for the central bank to increase its official foreign exchange reserves.

The country's forex reserves stood at 4.35 billion U.S. dollars at the end of last year, hitting an all-time high, according to the central bank.