Bank of Tanzania Launches Gold Purchase Initiative to Boost Foreign Exchange Reserves
The Bank of Tanzania has initiated a program to bolster the country’s foreign exchange reserves by purchasing gold using the local currency.
This move, aimed at addressing foreign exchange shortages, seeks to acquire six tonnes of gold from miners and traders in 2023. The program comes into effect after the Tanzanian government’s previous announcement about launching a gold reserve, and it follows the sale of 418 kilograms of gold, with the proceeds contributing to foreign exchange reserves.
The central bank’s governor, Emmanuel Tutuba, expressed the objective to secure six tonnes of gold this year. To address foreign exchange challenges, the Bank of Tanzania is emphasizing the importance of engaging licensed foreign currency brokers to maintain macroeconomic stability and safeguard the financial system. The central bank will purchase the gold using Tanzanian shillings, and it encourages all stakeholders to participate in the program.
Clever Robot News Desk 29th September 2023
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