In the past few years, countries like China and Russia have placed a sudden emphasis upon leveraging gold reserves. This gaining interest has be witnessed by the financial system all over the world continuously. With a common interest shared between the countries, energy and infrastructure related trade between both the countries have also seen a massive surge, resulting in extended co-operation and strategic partnerships between China and Russia. In the coming days, Russia might emerge to be the dominating nation when it comes to Energy and as a result, Europe will have to change their policies and interests based on the likes of Russia. A change of policy clearly means taking decisions and acting based on how Russia wants it to be. Although the chances that China or Russia will have a totally gold-backed currency are bleak, they will still have an upper edge over other economies in the world with the reserves they have in their arsenal.
Irrespective of the intent behind repatriating reserves, be it to steer away from the crisis Eurozone is in or to be a politically strong nation by having gold-backed economies, one thing is clear that it is starting to be looked upon as one of the strongest indicators in the world economy. Central banks of different countries are continuously increasing their interests in having reserves and the world economy is seeing a paradigm shift with reserves becoming predominantly important. This move should be taken into consideration by savers and investors from all over the world.