Zamfara State Government has established a gold reserve beginning with 31 kilogrammes of processed gold to reduce its dependence on the federal government.
Zamfara State Governor, Bello Matawalle, who disclosed this while speaking to journalists in Gusau on Tuesday, October 6, revealed that the gold was wholly mined and refined by artisanal miners in the state.
According to the governor, the gold mine was part of the efforts to prop up the economy of the state and guarantee the economic and social wellbeing of the people now and in the future.
He said, “My administration will subsequently continue to buy gold from our local miners so as to gradually improve the reserve.”
Governor Matawalle revealed that the gold reserve was unprecedented and the extract would be kept in a bank.
Governor Matawalle said, “Even though our state, like other states of the federation, is grappling with competing demands from the public and the resources at our disposal are meagre, we feel it is of utmost significance to invest in the future of our people. One of the lessons we have learnt from the global COVID-19 pandemic is the lack of resilience of the oil market in the wake of a crisis that affects industrial production.”
He added, “The recent collapse of the oil market has further shown the need to diversify our economy as a safeguard from the uncertainties of the market. The establishment of the gold reserve, therefore, is part of the relentless efforts by my administration to diversify the state’s economy by exploring all potentials of the state and maximally utilizing them for the benefit of both the present and future generations.”
Governor Matawalle maintained that the reserve had a better guarantee of returns compared to financial equities such as stocks.