Coins and Notes - Policies and Programs

Gold and Silver Buying

Gold Buying Guidelines

GUIDELINES - BSP GOLD BUYING PROGRAM

Gold Buying Business Hours

Gold may be sold to the Bangko Sentral ng Pilipinas (BSP) through its Gold Buying Stations (GBS) during working days from 9:00 a.m. to 2:00 p.m.

Region	Office
National Capital Region	BSP Security Plant Complex, Quezon City
Cordillera Region	BSP North Luzon Regional Office
Bicol Region	BSP South Luzon Regional Office
Davao Region	BSP Mindanao Regional Office
Zamboanga Region	BSP Zamboanga Branch

Gold Rate
The BSP shall purchase the refined gold in Philippine peso (PhP) at the prevailing international gold buying price set by the London Bullion Market Association (LBMA) and prevailing PhP / USD buying rate set by the BSP Financial Markets - Financial Services Department on a daily basis.

Responsible Gold Sourcing

In compliance with the LBMA's Responsible Gold Guidance (RGG), gold sellers¹ intending to sell their gold to BSP shall be required to accomplish and submit the following documents:

Document	Frequency
Customer Information Packet	Every year
Transactional Supply Chain Assessment Form	Every sale of gold
Proof of source of gold (e.g. Official Receipt/ Acknowledgement of Gold Delivery and Sale)	Every sale of gold
Other pertinent documents to support information stipulated in the Customer Information Packet.

Tax Exemption of Gold Sale
In compliance with Republic Act 11256 (Act to Strengthen the Country’s Gross International Reserves), gold sellers¹availing of the tax exemption from the sale of gold shall be required to apply for a BSP Certification. A copy of a valid and effective Small-scale Mining Contract must be submitted to the BSP during the Certification process.
BSP Certification Frequency
Regular BSP Certificate Every 3 years

Requirements

To facilitate the selling of gold to the BSP, below is the schedule of requirements that the gold seller¹ needs to submit on the date of transaction.

Requirement	Copies	Schedule	Where to Secure
Government Issued ID	2 originals, 2 photocopies	First transaction	From client
Tax Identification Number	1 original, 1 photocopy	First transaction	From client
Passbook or ATM with bank transaction reflecting validation of account number	1 original, 1 photocopy	First transaction/ Change of account	From client
Passport-sized ID photo	2 pieces	First transaction/ Change of account	From client
Business Permit (for traders/ companies)	1 photocopy	First transaction/ Change of account	From client
Authority to Credit Bank Account	1 original	First transaction/ Change of account	Gold Buying Station
Data Privacy Notice	1 original	Annually	Gold Buying Station
Letter of Authorization	1 original	Every subsequent change in authorized representative	Gold Buying Station
Letter of Delivery and Sale with Tax Letter of Delivery and Sale (with Tax Exemption)	3 originals	Every gold sale	Gold Buying Station
BIR Form No. 2299	3 originals	Every removal/ transfer of gold	Gold Buying Station
BIR Form No. 2200-M	3 originals	Every gold sale	Bureau of Internal Revenue
Proof of Source of Gold (e.g Official Receipt)	1 original, 1 photocopy	Every transaction	From client
Customer Information Packet (Mined Material) Customer Information Packet (Recycled Gold)	1 original	First transaction	Gold Buying Station
Feedback Management System	original or electronic	Every transaction	To be accomplished at the Gold Buying Station

For tax-exempted transaction for small-scale miners per Republic Act No. 11256

Requirement	Copies	Schedule	Where to Secure
Valid and Effective Small-Scale Mining Contract	1 original, 1 photocopy	First transaction	Provincial Mining Regulatory Board (PMRB)/ Mines and Geosciences Bureau (MGB)
Certificate of Registration	1 original	First transaction	To be issued by Gold Buying Station

For tax-exempted transaction for accredited traders per Republic Act No. 11256

Requirement	Copies	Schedule	Where to Secure
Acknowledgement of Gold Delivery and Sale	1 original, 1 photocopy	Every transaction	Issued by SSM to trader
Certificate of Accreditation	1 original	First transaction	To be issued by Gold Buying Station

Additional requirements for companies

Requirement	Copies	Schedule	Where to Secure
BIR Certificate of Registration (COR)	1 original, 1 photocopy	First transaction	From client
Securities and Exchange Commission Registration	1 photocopy	First transaction	From client
Company By- Laws	1 photocopy	First transaction	From client
List of Directors/Partners	1 photocopy	First transaction	From client
List of Principal Stockholders owning more than 10% of the capital stock	1 photocopy	First transaction	From client
Latest Annual Report	1 photocopy	First transaction	From client
List of Audited Financial Statements (if any)	1 photocopy	First transaction	From client

Additional requirements for companies engaged in medium-scale (msm) and large-scale mining (lsm)

Requirement	Copies	Schedule	Where to Secure
Mining Agreements/Permits (e.g. FTAA, MPSA, Co-production agreement (CA), Joint Venture Agreement (JVA))	2 original, 2 photocopies	First transaction	From client
Environmental Compliance Certificate (ECC)	1 photocopy	First transaction	From client
Social and Development Management Program/s (if any)	1 photocopy	First transaction	From client

Specifications of gold
1. Physical Form
  1. Should be in bar or disc (powder and jewelry are not acceptable).
  2. Should not contain mercury or amalgam in any quantity.
  3. Should be free of slag and other foreign matter.
  4. Should have no sign of metallic segregation / layering or poured shortness.
  5. Should not be damp or wet.
2. Maximum Dimensions
  1. Bar: 18 cm long x 8 cm wide x 6 cm thick
  2. Disc: 10 cm diameter x 5 cm thick
3. Weight
  1. Maximum weight of bar or disc: 5 kilograms
  2. Maximum weight per lot: 12.5 kilograms
4. Minimum Preliminary Gold Assay - 30%

Payment Scheme

Initial payment is equivalent to 99.5% of the value of the delivery based on as-received weight and preliminary assay by specific gravity method.
The remaining 0.5% will form part of the retention to be credited to seller in the final payment.
For Mint and Refinery Operations Department (MROD) – Initial payment shall be credited to the registered bank account indicated in the Letter of Delivery and Sale on or before the third working day for first time sellers and on or before the second working day for returning sellers, both commencing from date of delivery or sale.
For Regional Offices and Branches, Gold Buying Sections (ROBs GBS) – Initial payment shall be paid by BSP check within one (1) hour and thirty (30) minutes, or to be credited to the preferred bank account of the gold seller on or before the third working day for the first time sellers, and on or before the second working day for returning sellers, commencing from receipt of gold.
For MROD – Final settlement of the balance shall be credited to the registered bank account upon completion of final assay, or not later than twenty (20) working days from date of delivery or sale.
For ROBs GBS – Final settlement of the balance shall be paid by BSP check or to be credited to the preferred bank account of the gold seller, two (2) days upon receipt of the final analysis report transmitted by MROD to GBS, within twenty (20) working days from the date of delivery or sale, with an extension of another twenty (20) working days.

Deductions:

e.1. 4% Excise Tax and 1% Creditable Withholding Tax for non-tax exempt transactions.

e.2. Processing cost, with a minimum of Php 1,600.00 per lot, and Metal Recovery Factor shall be applied in accordance to the following schedule:

% Gold Assay	Metal Recovery Factor (MRF)², %	Processing Cost (PhP/Troy oz. of material received)
99.5 and above	99.9	34.00
90.0 to less than 99.5	99.5	37.77
70.0 to less than 90.0	99.5	39.37
50.0 to less than 70.0	98.9	42.17
30.0 to less than 50.0	98.6	45.67

Silver Recovery³: For silver assay of 1% or more, 97% of the value shall be paid; no payment shall be made for silver assay below 1%.

For Complaints
The seller shall be given five (5) working days from the credit date of final payment to its registered bank account to file a complaint. Otherwise, the final assay and the full payment of the sale is deemed as accepted.