Nigeria To Move Foreign Currency Reserves To Gold..... Says Alake

"Gold is an international currency. You can change it to anything; any currency. This initiative allows us to purchase gold from local artisanal miners using naira, instead of sourcing dollars to buy gold internationally." Dele Alake, Honourable Minister of Solid Minerals Development.

The Nigeria Government has declared its intentions to move its foreign reserves away from foreign currencies to gold deposits. Making this known is the country's Honourable of Solid Minerals Development, Dr Dele Alake at the closing of the 10th Edition of the Solid Minerals Mining Week in Abuja, on Wednesday 15 October.

According to Alake, this move will shore up the value of the naira and boost the Nigerian economy. 

The Minister stated this while speaking at the Nigeria Gold Day anchored by Solid Minerals Development Fund (SMDF) on the last day of the 10th edition of the Nigeria Mining Week. 

“This initiative allows us to purchase gold from local artisanal miners using naira, instead of sourcing dollars to buy gold internationally. 

"But you know what gold is? Gold is an international currency. You can change it to anything; any currency.  

“Once acquired, the gold goes straight into the Central Bank of Nigeria’s reserves. 

"It is one of the fastest and smartest ways to grow our foreign reserves. We are going to pursue it with vigour. 

"Because the gold is sourced locally, there is no need to spend foreign exchange. The Miners and workers are paid in naira, which circulates within our economy." he stated 

"It’s a win-win for the government, the miners, and the economy. We are pursuing this initiative with vigour and determination. Mr. President understands that real growth comes from production, not importation. With local gold reserves, Nigeria can strengthen its currency, create jobs, and build sustainable wealth.” Alake stated.

He pointed out that there's no amount of economic calculations that will be faster in terms of shoring up the value of the naira. 

The Minister also expressed confidence that no coming administration will reverse the ongoing reforms plugging loopholes and leakages in the solid minerals sector. 

Speaking at the occasion, the Executive Secretary of the SMDF, Hajiya Fatima Umaru Shinkafi, while warning against speculative mining practices, stressed that the sector should be run on data, science, and long-term strategies. 

On rising global interest in the Nigerian solid minerals sector, she said; “The confidence investors are showing is a direct result of the Minister’s policy direction and the government’s commitment to responsible mining.” 

She therefore commended the Minister, Dr. Alake for transformational leadership in the sector.