In difficult economic and geopolitical times, investors bet on gold for its storage capacity value.
Gold prices hit record highs last year, and some analysts predict that the precious metal could reach $3,000 an ounce by the end of 2025. But the boom is also linked to an increase in illegal gold mining.
“What we found during study that we announced is that more than 435 metric tons of gold were smuggled out of Africa in 2022,” said Marc Ummel, head of the raw materials unit at Swissaid. “At the current price of gold, this corresponds to a value of more than $36 billion.”
A little illegal miningknown as galamsey in Ghana, it provides livelihoods and an informal boost to the West African nation’s economy. It is also linked to environmental destruction and disease.
At least 87 illegal miners died in South Africa this week after they were trapped in an abandoned gold mine southwest of Johannesburg, according to The Associated Press.
So what do investors need to know about how gold is being sourced and whether the price will continue to rise? We traveled to Ghana to find out the impact of illegal mining.
