Online Reporter
Wallace Ruzvidzo-Herald Reporter
GOLD prices yesterday reached a record high of US$5 000 an ounce, extending a historic rally as investors piled into the safe-haven asset amid rising geopolitical uncertainties.
The price of the yellow metal was up 2,2 percent at US$5 089 per ounce by yesterday morning, having earlier reached an all-time high of US$5 110.
Yesterday’s milestone marks the latest achievement in an extraordinary and historic run for gold, with its price surging nearly 90 percent since United States President Donald Trump’s inauguration in January last year.
For countries like Zimbabwe, gold is of strategic importance primarily because it is the country’s largest source of export earnings and foreign currency, a critical anchor for national currency stability, and a major driver of livelihoods and economic growth.
The Zimbabwe Gold, introduced in April 2024, is also backed by the country’s gold and foreign currency reserves, a strategy that has stabilised the economy.
Economic analyst Mr Persistence Gwanyanya told The Herald yesterday that the continued gold price increases would significantly aid Zimbabwe’s economic growth.
He also predicted that the price of the yellow metal would remain firm throughout the year.
“It is very good news for the country especially for a bullion-based economy like ours. And the prospects are that gold prices will continue to increase throughout the year, to the benefit of the Zimbabwean economy,” said Mr Gwanyanya.
“Gold money is leaving footprints in the rest of our economy, we are talking of the boom in the construction industry and other economic activities in general.”
He said the firming of gold prices had given Zimbabwe a comparative advantage especially in light of geopolitical tensions.
Zimbabwe surpassed its 2025 annual gold production target of 40 tonnes last year, primarily due to significant contributions from the artisanal and small-scale mining (ASM) sector.
Deliveries exceeded 46,7 tonnes by the end of December, with ASM accounting for approximately 75 percent of total output, marking a notable increase from previous years.
“Government should feel the impact of the increase in global gold prices through increased revenue inflows.
“We should see the strengthening of our economy (because) the price increase gives us a global comparative advantage.
“We do not want that to just end in excitement,” Mr Gwanyanya said.
He said there was now need for greater organisation among gold miners, particularly artisanal and small-scale miners.
