Tanzania's gold shipment hit the $3 billion mark for the first time as the price of the precious metal increased in the world market.
Tanzania has opened one of Africa’s largest gold refineries in Mwanza. It will refine gold to international standards.
The country will no longer export raw gold. The refinery can process up to 480kg of gold per day. Gold is Tanzania’s biggest foreign exchange earner.
Bank of Tanzania Governor Prof Florens Luoga has commended the State Mining Corporation (Stamico) for enabling Tanzania to start refining gold to international standards.
The Governor urged the refinery to acquire an accreditation certificate to enable the Bank to start buying refined gold as part of its foreign reserves.
“Given the production capacity of this plant, I believe that it will be able to refine all locally mined gold as well as those from neighboring countries. The final product will bear the originality mark from Tanzania, and hence promote Tanzania overseas,” the Governor said.
Tanzania’s gold shipment hit the $3 billion mark for the first time as the price of the precious metal increased in the world market.
According to the Bank of Tanzania, the value of the exports of gold to $3.025 billion in the year ending March 31, 2021, compared with $2.324 billion recorded previously.
Gold started attracting higher prices last year following the outbreak of the Covid-19 which disrupted economic activities and markets around the world.
As financial markets were hit by the pandemic, investors rushed for gold which they consider as one of the safe-haven assets.