Zaernyuk V.M.Sergo Ordzhonikidze Russian State University for Geological Prospecting (MGRI), Moscow, Russian Federation zvm4651@mail.ru ORCID id: not available
Subject The study stems from a growing role of gold as an important economic and political means in the unstable economic situation. Objectives The study investigates routes of global gold flows by analyzing the existing trends in demand and supply of gold worldwide. Methods The methodological framework relies upon objective principles of a systems approach, provisions of economic analysis, logic and comprehensive approaches to evaluating economic phenomena and processes. Results Gold supplies from the USSR to foreign countries were found to have started in 1953. The article indicates how much gold was sold within 1953 through 1990. Traditionally, South Africa was the leader exporting gold to Europe, supplying 74 percent of gold. Gold was transported from Europe along the same routes which had been used in 1972. Practically all supplies of gold from Europe to the Indian subcontinent still pass through Dubai, however being halved in comparison with 1972. Russia sold an insignificant amount of gold within 2012 through 2018. Conclusions and Relevance The world sees an increasing demand for gold not only as a means of investment. In 2018 global gold reserves increased by 4 percent year-on-year. The uprising trend in the gold market continued in 2018. Central banks of the Russian Federation and Turkey became the most active purchasers of gold. Gold transportation routes will remain mainly unchanged in the short run, passing from Europe to Asia.
Keywords: gold, gold flows, demand, supply
References:
Kondrat'ev V.B. [Global market of gold]. Gornaya promyshlennost' = Mining Industry Journal, 2017, no. 3, pp. 60–67. URL: Link (In Russ.)
Zaernyuk V.M., Borisovich V.T. [Investment potential of precious metals: The current status and prospects]. Finansovaya analitika: problemy i resheniya = Financial Analytics: Science and Experience, 2018, vol. 11, iss. 4, pp. 454–469. (In Russ.) URL: Link
Levin J.E., Wright E.R. Short-Run and Long-Run Determinants of the Price of Gold. Research Study No. 32. London, World Gold Council, 2006, 64 p. URL: Link
Sukharev A.N. [Gold as a monetary commodity: Evolution and modern times]. Finansy i kredit =Finance and Credit, 2015, no. 45, pp. 2–10. URL: Link (In Russ.)
Borisov A.N. [Gold as an element of the global currency by advanced country, emerging economy, developing country]. Innovatsii i investitsii = Innovation and Investment, 2017, no. 2, pp. 196–205. URL: Link (In Russ.)
Kuznetsov A.V. [China's currency policy: A challenge to U.S. Hegemony?]. Finansy i kredit =Finance and Credit, 2017, vol. 23, iss. 16, pp. 914–926. (In Russ.) URL: Link
Smith M. A Monetary Explanation of Distribution in a ‘Gold Money Economy’. Contributions to Political Economy, 1996, vol. 15, iss. 1, pp. 33–36. URL: Link
Kumanova L.R., Yavarova I.D. [Pros and cons of investment in gold]. Ekonomika i Sotsium, 2015, no. 2-2. (In Russ.) URL: Link%202.pdf
Borisovich V.T., Zaernyuk V.M. [On the return of gold to the financial system: Trends and driving forces]. Finansovaya analitika: problemy i resheniya = Financial Analytics: Science and Experience, 2018, vol. 11, iss. 3, pp. 342–353. (In Russ.) URL: Link
Parshina L.N. [The role of gold in reserves of countries]. Finansy i kredit =Finance and Credit, 2016, no. 23, pp. 2–8. URL: Link (In Russ.)
Sukharev A.N. [The gold reserves of the Bank of Russia: Trends and current status]. Finansy i kredit =Finance and Credit, 2017, vol. 23, iss. 9, pp. 490–500. (In Russ.) URL: Link
Mitchell D.B. Dismantling the Cross of Gold: Economic Crises and U.S. Monetary Policy. The North American Journal of Economics and Finance, 2000, vol. 11, iss. 1, pp. 77–104. URL: Link00028-0
Katasonov V.Yu. Zoloto v istorii Rossii: statistika i otsenki [Gold in the Russian history: Statistics and assessment]. Moscow, MGIMO Publ., 2009, 312 p.
Burtsev S.V. Zoloto. Proshloe. Sovremennost'. Budushchee [Gold: The past. The present. The future]. St. Petersburg, Petropolis Publ., 2012, 340 p.
Krasnov Yu.K., Galin V.I. et al. Rossiiskoe zoloto za rubezhom: nekotorye itogi poiska: monografiya [The Russian gold abroad: Some results of search: a monograph]. Moscow, Novyi indeks Publ., 2018, 352 p.
O'Connor F.A., Lucey B.M., Batten J.A., Baur D.G. The Financial Economics of Gold – A Survey. International Review of Financial Analysis, 2015, vol. 41, pp. 186–205. URL: Link