The Turkish Central Bank has decided to bring its 220 tons-worth of gold home from the US. The country’s largest commercial banks have followed suit. Claudio Grass, a Mises Institute ambassador and consultant at Switzerland’s Precious Metal Advisory, explained why the move is a sign of the impending return to global financial multipolarity.
Sputnik: What do you think prompted Ankara to begin transferring its gold reserves out of the US Federal Reserve system?
Claudio Grass: I think there are several reasons for this, but the main might be that Erdogan’s former brother in arms Fethullah Gulen is living in Pennsylvania under the protection of the US government. Erdogan claims that Fethullah [is working with] the deep state in Turkey, which is trying to overthrow his position. So he claims that Gullen stands behind the coup attempt which took place a year and a half ago. Therefore, I think Erdogan does not trust Gullen, and also not the Americans any longer…
On the other hand, the economy is in trouble, and the Turkish lira for a long time has been facing pressure…
