Dele Alake, Minister of Solid Minerals Development says the exportation of gold sourced in Nigeria is capable of boosting Nigeria’s foreign reserve.
He revealed that more than 70kg of gold sourced in Nigeria have been refined for exports, while over $5 million has been added to the nations foreign assets reserve from the sales of the mineral.
He disclosed this while presenting gold bars to President Bola Ahmed Tinubu over the weekend, according to a statement by Segun Tomori, the minister’s special assistant on media.
Presenting the latest gold bar, sourced from artisanal and small gold miners and refined by the Solid Minerals Development Fund to meet the London Bullion Market Association’s Good Delivery Standard, Alake announced over the weekend that the refined gold would be sold to the Central Bank of Nigeria to bolster foreign reserves.
“Alake said the first commercial transaction has delivered +US$5 million increase in Nigerian’s foreign reserves assets, 70+ kilograms of gold refined to the London Bullion Market Good Delivery Standard and successful aggregation of locally mined gold thereby injecting about NGN6 billion into the rural economy,”
According to the statement, Alake, who praised President Tinubu for backing reforms in the solid minerals sector, assured that the National Gold Purchase Program would enhance the country’s reserves and strengthen the naira.
He highlighted that this event marked the first commercial transaction under the program, which is a centralised scheme supported by a network of artisanal miners and cooperatives.
“The successful completion of the first commercial transaction clearly demonstrates the National Gold Purchase Program’s effectiveness,” he said.
“It has increased the nation’s foreign reserves assets and shown that using the Nigerian Naira to purchase a liquid asset traded in United States Dollars, such as gold, is a viable strategy.
“This transaction has also underscored the potential of the National Gold Purchase Program to enhance fiscal and monetary stability.”
The statement added that Tinubu who received and displayed a symbolic bar, commended the Ministry for achieving a major milestone in the administration’s drive to diversify the economy.
“This is another concrete step towards the diversification process under the Renewed Hope Agenda” the president stated.
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