|Sudan Holds Largest Gold Reserves in Africa|
|by Tom McGregor||Thu, Jul 19, 2012, 07:19 PM|
The Sudanese government is purchasing a large stockpile of gold, which it intends to sell for U.S. dollars needed to purchase imports such as food and other essentials.According to Reuters, “Sudan is looking to expand gold mines and boost production of the metal to help keep the economy afloat.”
Previously, oil had been the main source of state revenues, including dollars, needed to pay for imports. However, Sudan lost three-quarters of its oil production when South Sudan declared its independence last year.
As reported by Reuters, “a scarcity of dollars has driven the annual inflation rate of 37.2 percent in June, double the level of June 2011, and officials warn prices will rise further.
The nation sits on what might be Africa’s largest gold reserves, while the government already handed out exploration contracts to more than 600 mining firms to search for gold and other minerals.
One wonders if gold mining tycoon, George Soros, has recently invested in Sudan’s gold market.
To read the entire article from Reuters, link here:
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