Dele Alake
Picnews
Nigeria’s Minister of Solid Minerals Development, Dele Alake, has announced plans to boost the country’s foreign reserves through a gold-for-naira program. This initiative involves using the local currency, naira, to purchase gold from artisanal miners, which will then be sold to the Central Bank of Nigeria (CBN) to increase foreign reserves.
The program aims to shore up Nigeria’s foreign reserves by leveraging gold as a valuable asset, stabilize and strengthen the naira by reducing the demand for dollars, and curb gold smuggling while promoting transparency in the solid minerals sector.
The National Gold Purchase Programme (NGPP) is a key component of this initiative, and the government has allocated more funds to support its implementation. The program has already recorded a significant milestone, with a $5 million gold transaction and the refinement of over 70 kilograms of gold to the London Bullion Market Association Good Delivery Standard.
The gold-for-naira program is part of the government’s efforts to diversify the economy and promote sustainable growth. By developing the solid minerals sector, the government aims to reduce the country’s dependence on oil exports and increase its foreign exchange earnings. The program is also expected to benefit artisanal miners, who will have a guaranteed market for their gold and access to a more stable source of income.
The initiative is seen as a strategic move to boost Nigeria’s economy, and its success will depend on effective implementation and management. The government’s commitment to promoting transparency and accountability in the solid minerals sector will also be crucial to the program’s success.
