China to Install 2,000 Gold ATMs

You can buy gold bars at hundreds of post offices in India, so, it shouldn't come as too big of a surprise that you'll soon be able to buy the metal at 2,000 ATMs in China, the nation now battling India for the top spot in global gold demand. Details are in this Mineweb story.

China has joined the United States, Germany, Italy and the United Arab Emirates, in hosting an ATM machine that dispenses bullion and gold coins. In Beijing's 800-year old Wangfujing shopping district, shoppers can use bank cards and cash to buy certified gold bars and coins.

China's first ATM dispensing gold bars and coins was switched on over the weekend of September 25, and then swiftly switched back off again. The equipment had to be shut down the same day because it was not producing receipts due to a small technical glitch, said an industry observer.

The German-imported gold vending machine was then officially installed during the Chinese National Day holidays, which fell in the first week of October.

Despite the initial hiccups, there are plans to roll out 2,000 more ATMs nationwide. The machines are operated jointly by Beijing Agricultural Commercial Bank and a gold trading German firm. Plans call for installing more of them in secure locations and in private clubs at banks and at landmark buildings in large cities across the Asian country.

There's more than a little bit of irony in a German company manufacturing and exporting gold vending machines to the rest of the world, China now being their biggest customer. You'd think that some Chinese company would have figured out how to it by now.