The Ministry of Mines has announced its intention to provide specialized support and monitoring to gold producing companies. During a meeting between the Minister of Mines, Habtamu Tegegn, and representatives of gold producing companies to discuss the production plan for the 2023/2024 fiscal year, Habtamu Tegegn affirmed that the companies would receive necessary support and monitoring to improve their products and increase their income.

The managers of the companies also shared some of the challenges they were  facing. The Minister assured them that the government would collaborate with them to achieve their gold production plan, provided they receive support from the State and Federal governments. According to the Minister, the Ministry will continue to strengthen its support and monitoring to address the challenges faced by the companies.

In May this year, the National Bank of Ethiopia (NBE) reported a decrease in the amount of gold it has received during the current fiscal year. The bank received 2,684 kilograms of gold during the first nine months of the fiscal year out of the planned 10,000 kilograms of gold representing a 62.5 percent decrease compared to the same period last year. The bank cited challenges such as smuggling that affected the proper delivery of gold produced by traditional gold producers and MIDROC Legedenbi mining company.

Ethiopia earned USD 560 million from gold during the 2021/2022 fiscal year. Gambella, Benishangul Gumuz, Oromia, and South West Ethiopia are known for their gold resources. Gambella Regional State’s Akbobo narrow greenstone sub-belt is labeled a high potential target for gold exploration by the Ministry of Mines. 2Merkato reported that one of the major Regional States which was rich in gold, Benishangul Gumuz, had already registered low income from gold during the first nine months of the 2022/2023 fiscal year when compared to the same period last year.

Source: Fana BC and 2Merkato Archives