Idea to use gold reserves to plug budget holes ‘could be interesting’


Italy’s deputy prime minister, Matteo Salvini, comments

  • Says Bank of Italy’s gold reserves are the property of all Italians


The idea that’s being floated here is that the government was considering to use part of the country’s gold reserves to avoid a budget correction this year and also a VAT increase next year. In essence, they’ll be using the reserves held by the Bank of Italy to cover any shortfalls seen in the budget.

Again, this is a very wild suggestion being proposed by the populist government (not likely to follow through on it) and in some ways it’s another dig at the central bank following their comments over the weekend here.

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