FPR FACILITY UPDATE: $3m utilised from $20m artisanal miners facility

AT least $3 million has been utilised from the $20 million facility for small and artisanal miners unveiled by the central bank in September this year.

BY VICTORIA MTOMBA (Newsday)

Presenting a paper on the review of the 2016 monetary policy interventions, the Reserve Bank of Zimbabwe economic research director, Simon Nyarota said the facility was set to increase gold deliveries from smallscale miners to mitigate leakages to the black market and smuggling of gold out of the country.

“About $3 million has been utilised by the end of November 2016. Total gold deliveries to Fidelity Printers and Refineries amounted to 15,3 tonnes as at end September 2016, with smallscale producers contributing 42,5%,” he said.

Gold is one of the largest foreign currency earners. Output is projected at 22 tonnes this year.

 

The country has underground gold reserves estimated at 13 million tonnes and 586 tonnes have been mined officially in the past 36 years.

Meanwhile, Nyarota said the Movable Property Security Interest Bill was waiting for consideration and approval by the legislature.

“For the collateral registry system, the Movable Property Security Interest Bill was approved by Cabinet, and is now awaiting consideration and approval by the legislature,” he said.

Nyarota said the intention of the policy was to reduce credit information asymmetry in the economy and to increase access to credit by previously marginalised groups such as individuals and medium and small medium enterprises through the use of movable properties such as collateral for bank borrowing.

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