Only 29% of the gold mined in the Dima district of the Gambella region has been submitted to the national bank, according to the district administration.
They reported that out of 79 licensed producers in the area, the majority of gold output has not reached the national bank due to illegal sales.
Amid increased smuggling activities, the volume of gold deposited in the banks has decreased significantly, dropping from an estimated 30 to 40 kg per month to just 10 to 15 kg. The target for gold recovery in 2016 was set at 1,000 kg; however, only slightly over 287 kg has been successfully recovered.
In response to the drop in gold production, the governor has mandated that all producers deposit 600 kg of their output within ten days.
The report noted that over 300 kg had previously been produced in the Dima district. The governor mentioned that of more than 100 applicants for licenses in the region, 79 manufacturers have been granted licenses.
An expert quoted by the Voice of Germany indicated that while gold production has risen due to the adoption of modern extraction techniques in the area, the proceeds from this production are not being deposited into the national bank.
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