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Gold price breaks US$2 000 mark


Story by Davison Vandira

THE price of gold broke the US$2 000 mark per ounce on the international market this Saturday as the greenback continues on a freefall in the United States of America.

High inflation levels in the United States of America have triggered the shunning of greenback by investors, in a development that has seen gold becoming a safe haven for investors, hence the price surge on the international market.

The development is good news for Zimbabwe which is a key producer of the yellow metal in the world.

For 2023, Zimbabwe is targeting to double the 37 tonne gold output realised in 2022.

Analysts believe the high gold prices will enhance production levels.

Growth in gold production has also been attributed to the Reserve Bank of Zimbabwe (RBZ)’s removal of foreign currency retention thresholds as small scale producers are retaining 100 percent forex from their proceeds.

The decriminalisation of small scale miners activities have also made a positive impact on deliveries of the yellow metal to government’s sole buyer, Fidelity Printers and Refiners, with the sector having contributed 70 percent to the total output in 2022.