The Bank of Zambia has signed a Gold Purchase Agreement with Kansanshi Mining PLC, a subsidiary of First Quantum Minerals.
BoZ Governor, Mr Christopher Mvunga, signed the agreement on behalf of the Central Bank while, Director of Operations at First Quantum Minerals, Mr Rudi Badenhorst, signed on behalf of Kansanshi Mining PLC.
The Agreement is a milestone in the Bank’s efforts to resume the holding of gold as part of the country’s foreign exchange reserves.
Mr Mvunga said Kansanshi Mining Plc was identified as a counterparty since it has been producing the commodity on a commercial basis since 2006.
He disclosed that apart from Kansanshi, the Bank has also engaged Zambia Gold Company, a newly established subsidiary of ZCCM–IH as the other counterparty in the purchase agreements given its mandate to oversee mining, processing, refining and marketing of gold in Zambia.
He said the data from the International Monetary Fund (IMF) shows that gold reserves have continued to increase and currently accounts for about 15 percent of the total world foreign reserves.
“Furthermore, central banks’ total gold holding has risen to 34,000 tonnes by the end of 2019 from a low of 28,000 tonnes recorded in 1997 since the end of the gold standard, according to the World Gold Council. And these dynamics demonstrate the strategic value of gold,” said Mr Mvunga. The BoZ Governor is confident that the Agreement will take the Bank’s efforts to build gold reserves a step further.
“And It is now time for us to implement the agreement, which undoubtedly will enable the country boost its foreign reserves,” he added.
OK! And then FQM will convert the money we pay them into dollars and externalise? How will this work? Am just asking
Cool but one can also only hope that the accumulated gold will just disppear from the vaults one bad day
This is an exciting and progressive development…
Sitali Simui how progressive bwana buying what is yours in the first place from foreigners. Zambia is the owners of the mineral resource
African Counties. Your buy your own Gold from foreigners in your own country.
These chaps have taken laundering to the next level. Awe please stop behaving as if you are the last set of humans to set foot on this beautiful country called Zambia. That gold should go in reserves without strings attached because it belongs to the Zambian people.
FQM externalised over half billion to DRC mine and you are mute and then there is this ZCCM subsidiary with questionable shareholders add to that you have a former PF minister as BOZ Governor in the name of drunkard Mvunga …all this is just a recipe for mismanagement. PF regime is the worst form of kakistocracy to have ever ruled a country. 2021 being an election year all this gold or little funds that trickle down will simply disappear.
FutureZed – They keep mentioning Gold but to date have not told us how much each of these mines have produced or reports from ZRA…they are stealing with impunity, look at how Tanzania is handling its resources prudently.
This has brought so much joy in my heart. This is incredible development. This will scare many western imperial governments and their stooges like tarino and the rest of the upnd diasporans. Just look at how angry tarino is. He is foaming at the mouth. Imbecile. Simply fack off
Choka apa iwe
Look at the grin on the BOZ chap.
It is like you have a garden full of vegetables that God has provided you. You have not laboured for this garden. It is free for hundreds of years, in your own backyard garden.
Then because you are lazy and corrupt, you start paying someone that lives in Europe to come harvest the garden for you, and sell you the products from that garden.
Is this normal?
Vote wisely.
LT WHY DID YOU BLOCK ME FROM YOUR SITE
Look how clean that alcoholic has become. Congratulations Chris, just quit drinking man, like your hero Edgar.
In Internet slang, a troll is a person who starts flame wars or intentionally upsets people on the Internet by posting inflammatory and digressive,extraneous, or off-topic messages in an online community with the intent of provoking readers into displaying emotional responses and normalizing tangential discussion for the troll’s amusement.
Imagine a country that cannot even own 100% of something like Gold…they are even proud..Zambia is resource rich country but we have kakistocratic leaders in charge…you have an accountant in charge of BOZ who is La7y”s stooge.. really laughable.
Good! Excellent!
Let’s mine & buy and stockpile this valuable sh!t.
This country has issues, instead of putting up formidable local structures to mine this gold for ourselves, you instead put up a religious affairs ministry. Unbelievable
So, Zambia can not manage its own gold and continue to rely on a foreign company. – Shame, that Zambia as a country can not manage this valuable resource and yet individuals in Zambia mine and sell gold on the international market. This national dysfunctional management and lack of patriotism of Zambians will never equal to Botswana or now Rwanda in national development.
The Bazungus just laugh at us…
You foools really surprise me: Kansanshi is a private mine – so you expect just to go to Kansanshi and get the gold for free?? Extremely stoopid thinking. You can only open your own gold mines you moorons.