For decades around half of the German government's gold reserves worth some $80 billion has been stored in a vault deep below the US Federal Reserve building.
BERLIN(BullionStreet): German politicians are applying more pressure on authorities to repatriate country's huge gold reserves stored in the US.
They demanded that the Bundesbank is required to count and weigh the gold it holds every year but those kept in the US have not been weighed or counted once in three decades.
They added that the present scenario of financial crisis, Germans feel anxious about their national wealth and want to be sure they can count on their gold.
The euro crisis forms the background to what is a slight paranoia in Germany right now, analysts said .
The mood was not improved by reports that the New York Fed was refusing permission to German politicians to visit the gold, on grounds of security,analysts added.
However, a latest report said in a bid to assuage German anxieties, the Bundesbank is considering a token repatriation of German gold. Plans are said to be afoot to bring back 150 tons of it from New York, but that's just 10 percent of the total held in New York.
About half of Germany's gold reserves are stored in the United States, but it's been so long since they were allowed in to see it, that some German politicians are asking whether it is still there.
For decades around half of the German government's gold reserves worth some $80 billion has been stored in a vault deep below the US Federal Reserve building on Liberty Street in New York.
The fact that Germany has so much of its gold reserves in the US is a legacy of the Cold War when West Germany was menaced by the Soviet Union's presence in the East of the country.
To keep its gold well beyond Soviet reach, Germany lodged the bullion with the US Federal Reserve. Today, the Soviet threat is long gone. Now Germany faces an altogether different menace.
The euro zone debt crisis has sparked angry protests in Greece, Spain and elsewhere. The pressure is on Germany to bail out its southern neighbors. And many Germans don't like it.