China launched its first ATM gold dispenser in a shopping street in Beijing. The ATM contains 320 bars and gold coins, and it is expected to operate up to two thousand providers in the next two years.
Every transaction has a limit of 2.5 kilos or bullion valued in a million yuan (115 thousand 540 euros, 156 thousand 295 dollars).
“People in Asia have a unique taste for gold, especially in China and India, and investment channels in China are very close now,” said company president Gongmei Gold Trading, Zheng Ruixiang. The ATM will be functioning on October 1st.
Gold investment demand could reach 200 tonnes this year in China, beyond the 187 metric tonnes in 2010, when it rose 70% year on year, according to the World Gold Council Prices. Future prices of gold, which is safe in the current economic instability, have risen 29% so far this year due to the debt crisis in the U.S. and the European Union.