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Ghana prohibits foreigners from trading gold in the country starting May 1

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ACCRA, Ghana, April 15, (AP): A newly created regulatory body for gold exports from Ghana announced Monday that foreigners would no longer be allowed to buy or trade artisanaly mined gold in the country, Africa’s biggest gold producer. Starting May 1, gold must be bought with licenses from the new Ghana Gold Board, also known as GoldBod, according to a statement from the new body.

Licenses previously issued by the Precious Minerals Marketing Co, which used to market minerals produced in the country, will no longer be valid. The statement said beginning next month no entity can purchase or deal in gold in the country apart from GoldBod, which was created to oversee gold trading and maximize revenue from its export.

Under the law, GoldBod becomes the sole buyer, seller, assayer and exporter of all gold produced by licensed small-scale miners in Ghana, and those who do so without a license from the board will be charged criminally. Traditionally, local and foreign companies with export licenses had been able to buy and export gold from small-scale Ghanaian miners.

On March 29, Parliament passed the Ghana Gold Board bill, which was signed into law by President John Dramani Mahama on April 2. Prince Kwame Minkah, spokesman for GoldBod, told The Associated Press that “the trading activities of GoldBod is expected to culminate into building the needed reserves to enhance our forex and by extension deal with gold smuggling.”

The chronic challenge of illegal gold mining – known locally as “galamsey” – was a major issue during Ghana’s presidential election campaign last year and a source of concern for voters, triggering protests and criticism against the outgoing government. Ghana is the world’s sixth largest gold producer, but the commodity has been increasingly mined illegally as people become more desperate to find jobs in a crumbling economy.

The mining has polluted rivers and other parts of the environment, despite government actions to clamp down on the practice. Speaking before Parliament passed the bill, Minister of Finance Dr. Cassiel Ato Forson, said: “The GoldBod will ensure that Ghana harnesses the entire gold value chain – from extraction to refining, value addition, and marketing – both locally and internationally.”

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Gold prices fall for third straight week, hit $3,337 an ounce

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Gold prices fall for third straight week, hit $3,337 an ounce

Gold prices drop to $3,337 amid economic shifts and waning geopolitical tensions.

KUWAIT CITY, July 27: Global gold prices closed last week with a notable decline, falling to USD 3,337 per ounce, as ongoing economic and geopolitical developments continued to pressure the precious metal. This marks the third straight week of losses, erasing gains achieved in previous weeks.

According to a report released on Sunday by Kuwait’s Dar Alsabaek Company, the continued drop in gold prices is largely attributed to improving U.S. economic data and a strengthening dollar index. Additionally, a decline in geopolitical risks has diminished gold’s traditional role as a safe-haven asset.

Gold futures for August delivery settled at USD 3,335.6 per ounce, reflecting a weekly loss of USD 37.9, or approximately 1.12 percent. Spot prices also fell by 1.12 percent on a daily basis.

The report noted that gold trading last week was marked by high volatility. Prices climbed on Monday and Tuesday, peaking at a weekly high of USD 3,433 per ounce. However, the upward momentum quickly reversed, with prices gradually falling to a low of USD 3,325 by Friday afternoon, influenced by a series of economic and financial updates.

One of the key pressure points on gold was the improvement in U.S. labor market data. Unemployment claims fell for the sixth consecutive week—the longest streak since 2022—bolstering optimism about the strength of the U.S. economy and boosting investor confidence.

Despite a 9.6 percent decline in durable goods orders in June — largely driven by a 22.4 percent drop in aircraft orders — core orders excluding transportation rose by 0.2 percent. This reflected ongoing stability in underlying investment activity.

The U.S. dollar index climbed to 97.68 points, rebounding from two-week lows, supported by falling U.S. Treasury yields. The yield on 10-year Treasury bonds dipped to 4.386 percent, while real yields dropped to 1.936 percent. Still, these declines were not enough to halt gold’s downward trend, as higher real yields and a stronger dollar made gold less attractive compared to other investment instruments.

Improved global market sentiment further contributed to the slide in gold prices. Positive developments in trade talks between the United States and the European Union, as well as a new trade agreement signed with Japan, have boosted risk appetite.

Additionally, easing geopolitical tensions in key regions, including Iran and parts of Asia, have lessened investor demand for gold as a hedge. The report noted that no significant military or political escalations occurred over the past week, further reducing gold’s safe-haven appeal.

Looking ahead, the global markets are closely watching the upcoming U.S. Federal Reserve decision, scheduled for next Tuesday. Futures contracts suggest the Fed may keep interest rates steady within the current range of 4.25 percent to 4.50 percent.

In Kuwait, domestic gold prices mirrored global fluctuations. The price of 24-karat gold reached approximately KD 32.830 per gram, while 22-karat gold was priced at about KD 30.100 per gram. Meanwhile, the price of silver stood at KD 419 per kilogram.

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Trump’s meeting with a key European official comes as tariff deadline nears

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US President Donald Trump waves to reporters as he plays golf at the Trump Turnberry golf course in Turnberry, Scotland on July 26. (AP)

EDINBURGH, Scotland, July 27, (AP): Donald Trump is meeting Sunday with European Commission President Ursula von der Leyen, taking a break from golfing in Scotland to discuss trade as both sides seek an agreement on tariff rates now that the White House’s deadline to impose stiff tariff rates is looming. Trump played golf Saturday at his course in Turnberry on the southwest coast of Scotland and is expected to hit the links again frequently during his five-day visit.

On Tuesday, he’ll be in Aberdeen, in northeast Scotland, where his family has another golf course and is opening a third next month. Trump and his son Eric are planning to help cut the ribbon on the new course, where public tee times starting Aug. 13 are already on offer. The visit with von der Leyen is expected to be behind closed doors and few further details have been released. Leaving the White House on Friday, Trump said “we have a 50-50 chance, maybe less than that, but a 50-50 chance of making a deal with the EU.”

He said the deal would have to “buy down” the currently scheduled tariff rate of 30% on the bloc of 27 member states. Later, von der Leyen posted on X that, “Following a good call” with Trump, the pair had ”agreed to meet in Scotland on Sunday to discuss transatlantic trade relations, and how we can keep them strong.” The US and EU seemed close to reaching a deal earlier this month, but Trump instead threatened a 30% tariff rate on the bloc of nations.

Still, Trump’s original deadline for beginning such tariffs has already passed, and is now delayed until at least Friday. Flying to Scotland to enjoy his golf courses hasn’t stopped the president from talking trade. After going to Turnberry to play nine holes, have lunch, then play nine more, Trump posted that he’d block any trade deals between the US and Cambodia and Thailand since the two southeast Asian countries remain locked in violent clashes in long-disputed border areas.

Trump wrote that he spoke with Cambodian Prime Minister Hun Manet and Phumtham Wechayachai, the acting prime minister of Thailand, to call for a ceasefire. “I am trying to simplify a complex situation!” he wrote on Truth Social after disclosing his conversation with the Cambodian leader. After speaking with Wechayachai, Trump said both countries want peace and added: “Ceasefire, Peace, and Prosperity seems to be a natural.” The actual likelihood of a deal with the EU, meanwhile, remains to be seen. Trump recently said he thought the odds of reaching a framework with Japan was 25% – but the U.S. and Japan subsequently announced an agreement this past week.  

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India’s Modi announces credit worth $565 million to Maldives and launches free trade talks

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President of the Maldives Mohamed Muizzu, right, shakes hand with Indian Prime Minister Narendra Modi after signing a memorandum of understanding between the two countries in Male, Maldives on July 25. (AP)

COLOMBO, Sri Lanka, July 26, (AP): Indian Prime Minister Narendra Modi on Friday announced a $565-million line of credit to the Maldives during a visit to the Indian Ocean archipelago, as the two countries launched formal talks for a free-trade agreement. Modi is visiting the Maldives, known for its upmarket tourist resorts, to mark the 60th anniversary of its independence and diplomatic relations between the two countries.

The announcement came during Modi’s joint media statement with Maldives’ President Mohamed Muizzu. The two-day visit is crucial to India’s ambition to control the seas and shipping routes of the Indian Ocean in a race with its regional rival China. It also marks the further easing of diplomatic tensions between the two nations that followed the election of pro-China Muizzu in 2023.

Regional powers India and China compete for influence in the archipelago nation, which is strategically located in the Indian Ocean. On Friday, Modi witnessed the exchange of agreements to cooperate in sectors such as fisheries, health, tourism and digital development. He also formally handed dozens of heavy vehicles to the Maldives’ defense forces.

“India is Maldives’ closest neighbor. Maldives holds an important place in both India’s neighborhood- first policy and ocean vision,” Modi said. “India is also proud to be Maldives’ most trusted friend.” The line of credit will be used for “infrastructure and development projects in line with the priorities of the people of the Maldives,” he said.

“India will continue to support Maldives in developing its defense capabilities. Peace, stability and prosperity in the Indian Ocean region is our common goal,” he added. During Muizzu’s visit to India last October, India announced financial support to the cash-strapped Maldives in the form of a $100-million treasury bills rollover and the countries signed a $400-million currency swap agreement.

Tensions between India and the Maldives grew since Muizzu, who favored closer ties with China, was elected in 2023 after defeating India-friendly incumbent Ibrahim Mohamed Solih. Leading up to the election, Muizzu had promised to expel Indian soldiers deployed in the Maldives to help with humanitarian assistance. Last year New Delhi replaced dozens of its soldiers in the Maldives with civilian experts.  

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