Burkina Faso is Halting Gold Exports to Bolster Currency Reserves
Mon Aug 19 2024
In a bold move to strengthen its currency reserves and tackle the illicit trade, Burkina Faso has announced an immediate suspension of gold exports, particularly from artisanal and semi-mechanized mining operations. This decision, spearheaded by the nation’s military leadership, underscores a determined effort to restructure and enhance the regulation of the gold sector.
The West African nation, rich in mineral resources, has long grappled with the challenges posed by unregulated artisanal gold mining. The vast majority of the gold mined through these operations has bypassed formal channels, leading to significant revenue loss for the government and contributing to regional insecurity. The suspension of export permits is a strategic step towards addressing these issues head-on.
By redirecting the flow of gold to the state-owned Société Nationale des Substances Précieuses (SONASP), the government aims to ensure that a fair share of the profits benefits the national economy and its people. This move also aligns with the broader regional efforts, as highlighted in a report by the Economic Community of West African States (ECOWAS), to formalize artisanal and small-scale mining across the Sahel region.
Source: https://www.tekedia.com/