https://www.engineeringnews.co.za
Africa|Gold|Mining
Africa|Gold|Mining
africa|gold|mining

Bank of Ghana to bolster currency reserves with gold purchases

18th June 2021

By: Reuters

  

Font size: - +

Ghana's central bank will purchase 8.7 t of domestically-mined gold over the next five years to bolster its foreign currency reserves, Governor Ernest Addison said on Thursday.

Ghana, Africa's top gold producer, is weathering its steepest decline in production since 2004 after the Covid-19 pandemic disrupted global supply chains.

The bank hopes the gold purchases will help it raise cheaper sources of financing to provide short-term foreign exchange liquidity.

"This day is indeed historic because it marks the first time the Bank of Ghana is embarking on domestic gold purchasing to augment our foreign reserves with a view to doubling our gold holdings," Addison said in a speech.

The country's foreign reserves have steadily grown over the last 15 years to just under $11-billion, but gold reserves have been unchanged over the same period, according to central bank figures.

An initial 540 kg of gold will be purchased over the next year from domestic mining firms and small-scale miners, Addison said, with the goal of acquiring 8.7 t by the end of 2026.

The Bank of Ghana will pay for the gold in local currency at prevailing market prices, he said.

Edited by Reuters

Comments

Showroom

Weir Minerals Africa and Middle East
Weir Minerals Africa and Middle East

Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...

VISIT SHOWROOM 
WearCheck
WearCheck

Leading condition monitoring specialists, WearCheck, help boost machinery lifespan and reduce catastrophic component failure through the scientific...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Magazine round up | 19 April 2024
Magazine round up | 19 April 2024
19th April 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.089 0.143s - 158pq - 2rq
Subscribe Now