June 20, 2024

My Views on News

Impartial and Unflinching

gold smuggling

Ethiopia Battles Gold Smuggling to Achieve Export Target

Spread the love

The Ethiopian Ministry of Mines claimed to achieve 75% of its annual gold export target during the first nine months of the current fiscal year despite the challenge of gold smuggling. Minister of Mining, Habtamu Tegegn revealed that the country exported over three tons of gold during this period, showing a 12.6% increase compared to the same period in the previous year. Commercial companies exported 2.4 tons, while artisanal miners contributed the remaining 0.4 tons to the total quantity.

Minister Habtamu Tegegn said “The revenue target from gold export has reduced in the nine months of the budget year, even though it is higher than compared with the previous year,” Moreover he acknowledged the gold smuggling and said that Ethiopia is unable to reach its full potential because of this smuggling.

At the end of March 2024, the National Bank of Ethiopia warned about the illegal trade of gold. Faqadu Dgafe, Deputy Governor and Chief Economist of the National Bank of Ethiopia NBE said yesterday that the bank could not collect 100 kg of gold this month. He said that since the start of this year, NBE has not been able to collect more than 100 kg of gold every month from traditional gold producers and small associations.

The gold exports during these nine months generated $274 million in revenue for Ethiopia, representing a substantial 83% surge compared to the previous year’s figures. Beyond its gold trade, Ethiopia also exported substantial quantities of other valuable mineral resources. These included 9.9 tons of processed and rough opal, 11,176 tons of lithium, 69.8 tons of tantalum ore, and 79.5 tons of jewelry items. Collectively, the export value of these industrial minerals amounted to $13.3 million.

“Overall, the mining industry has generated $289 million in exports during the stated period, which represents a 68% increase over the same period last year,” Habtamu said.

Other Stories

CBE Urges Ethiopian Diaspora to Donate for GERD