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Russia looks to set up special gold and gem reserves to mobilize during times of war

Kitco News

(Kitco News) Russia's Finance Ministry proposed to create separate special precious metals and gems reserves intended for quick mobilization in times of war. This is an amendment to an existing bill and if passed, Russian President Vladimir Putin would be able to directly oversee how the special reserves are used, according to the proposed legislation.

The proposed amendment states that part of Russia's precious metals and gemstone reserves would be set aside to be used for the mobilization needs of the country, Russian media reported this week citing the existing bill titled "On mobilization training and mobilization in the Russian Federation."

Russian gold and foreign exchange reserves include gold, silver, platinum, palladium, natural diamonds, emeralds, rubies, sapphires, natural pearls, unique ambers, and more.

Under the law, these special reserves would be made available to sell if the country needed additional funding to maintain its defense capabilities as well as its economic and financial security during times of "mobilization," RBC.ru reported.

Under the proposed law, the Russian president will determine how and when it will be appropriate to use these special reserves. This simplifies the current process if any part of the reserves needs to be sold urgently.

Russia's Finance Ministry took over the responsibility for the protection, safety, and security of Russia's precious metals and gemstone reserves in 2021.

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