<p>The sale to India was nearly half the amount that the Fund has targeted for sale over the coming years.<br /><br />The IMF said the transaction, which was in the process of being settled, involved daily sales that were phased over a two-week period during October 19-30.<br /><br />Each daily sale was conducted at a price set on the basis of market prices prevailing that day, it said, in accordance with the institution's founding document.<br /><br />"I strongly welcome this transaction with the Reserve Bank of India," Dominique Strauss-Kahn, the IMF managing director, said in a statement.<br /><br />"This transaction is an important step toward achieving the objectives of the IMF's limited gold sales program, which are to help put the fund's finances on a sound long-term footing and enable us to step up much-needed concessional lending to the poorest countries."<br /><br />The Washington-based IMF, which currently holds 3,217 tonnes of gold, is the third-largest official holder of the precious metal after the United States and Germany.<br /><br />On September 18, its executive board approved the sale of 403.3 tonnes of gold, about one-eight of its current holdings, but assured it would do so in a way that would prevent disruption of the gold market.<br /><br />Under the plan, the IMF offers to sell gold directly to central banks "or other official sector holders if there were to be interest from such holders."</p>
<p>The sale to India was nearly half the amount that the Fund has targeted for sale over the coming years.<br /><br />The IMF said the transaction, which was in the process of being settled, involved daily sales that were phased over a two-week period during October 19-30.<br /><br />Each daily sale was conducted at a price set on the basis of market prices prevailing that day, it said, in accordance with the institution's founding document.<br /><br />"I strongly welcome this transaction with the Reserve Bank of India," Dominique Strauss-Kahn, the IMF managing director, said in a statement.<br /><br />"This transaction is an important step toward achieving the objectives of the IMF's limited gold sales program, which are to help put the fund's finances on a sound long-term footing and enable us to step up much-needed concessional lending to the poorest countries."<br /><br />The Washington-based IMF, which currently holds 3,217 tonnes of gold, is the third-largest official holder of the precious metal after the United States and Germany.<br /><br />On September 18, its executive board approved the sale of 403.3 tonnes of gold, about one-eight of its current holdings, but assured it would do so in a way that would prevent disruption of the gold market.<br /><br />Under the plan, the IMF offers to sell gold directly to central banks "or other official sector holders if there were to be interest from such holders."</p>
