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Tanzania orders gold dealers to reserve 20% for central bank

Published

2 months ago

September 29, 2024

Tanzania’s mining regulator has ordered all gold exporters to sell at least 20% of the metal to the central bank to diversify its foreign reserves.

The Central Bank of Tanzania (BoT) started buying gold from local dealers and miners in the past financial year that ended in June to strengthen its reserves amid shilling depreciation.

The central bank increased its gold reserves by 418 kg in the year to June and plans to purchase 6 metric tonnes in the current financial year.

The Tanzania Mining Commission announced late Friday that the instruction will take effect on Oct. 1 as part of a new mining law.

The statement states that miners and traders will have to provide the reserved gold to two significant mineral refineries: Mwanza Precious Metals Refinery Ltd., which is situated in the northern East African city of Mwanza, and Eye of Africa Ltd., which is located in the capital Dodoma.

“All payments will be done according to the Bank of Tanzania arrangements,” the statement said, without providing details on rates.

At the end of July, Tanzania had $5.29 billion in foreign exchange reserves, which was enough to fund 4.3 months’ worth of anticipated imports of goods and services.

Source: https://www.reuters.com/world/africa/tanzania-orders-gold-dealers-reserve-20-purchase-by-cbank-2024-09-28/Tanzania orders gold dealers to reserve 20% for sale to its central bank

Tanzania’s mining regulator has ordered all gold exporters to sell at least 20% of the metal to the central bank to diversify its foreign reserves.

The Central Bank of Tanzania (BoT) started buying gold from local dealers and miners in the past financial year that ended in June to strengthen its reserves amid shilling depreciation.

The central bank increased its gold reserves by 418 kg in the year to June and plans to purchase 6 metric tonnes in the current financial year.

The Tanzania Mining Commission announced late Friday that the instruction will take effect on Oct. 1 as part of a new mining law.

“All payments will be done according to the Bank of Tanzania arrangements,” the statement said, without providing details on rates.

At the end of July, Tanzania had $5.29 billion in foreign exchange reserves, which was enough to fund 4.3 months’ worth of anticipated imports of goods and services.

Related Topics:central bank Featured Tanzania

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Mozambique drops interest rate for 6th time in 2024

Published

4 days ago

November 29, 2024

Ifeoluwa Dada

As inflation remains low in southern African Mozambique, its central bank has lowered its main interest rate by 75 basis points, the sixth straight drop.

Mozambique’s MIMO interest rate dropped from 13.50% to 12.75%. Since July, Mozambique’s inflation rate has stayed below 3%; in October, it was 2.68% annually.

In a statement, the Bank of Mozambique stated that, despite concerns about post-election demonstrations and their effect on the cost of goods and services, its most recent monetary policy decision was consistent with maintaining inflation in the single digits over the medium run.

With a moderate inflation forecast, the policy rate was lowered for the sixth straight time.

Despite concerns about post-election demonstrations and their effect on the cost of goods and services, policymakers said the decision was compatible with keeping inflation in the single digits in the medium run.

Although headline inflation increased slightly to 2.68% in October from 2.45% in July, it has stayed below 3% since then. Banco de Moçambique is the source.

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Hackers stole $17 million from Uganda National Bank— Report

Published

5 days ago

November 28, 2024

Ifeoluwa Dada

The state-owned New Vision newspaper has reported that offshore hackers had stolen 62 billion Ugandan shillings ($16.8 million) from Uganda’s central bank.

Earlier this month, the hackers, who went by the name “Waste,” allegedly gained access to the Bank of Uganda’s IT systems and moved the money illegally.

According to New Vision, which cited anonymous bank sources, the Southeast Asian hacker collective moved a portion of the pilfered funds to Japan.

A request for comment on the issue from Reuters was not immediately answered by Bank of Uganda. A request for a response from the Ugandan police was likewise not answered.

More than half of the funds had been successfully retrieved by the central bank from the hackers, according to New Vision. It stated that President Yoweri Museveni had ordered a probe into the cyberattack.

Separately, the Daily Monitor, Uganda’s largest independent daily, stated that insider collaboration could have played a role in the crime.

In Uganda, there have been several instances of cyber thefts from banks and other financial service providers, including telecom companies. However, according to police authorities, several banks are reluctant to openly admit such events for fear of upsetting their clientele.