Egypt to launch 1st electronic auction for gold and silver next week

Asmaa Mostafa,Tuesday 7 Nov 2023

The Assay and Weights Administration (AWA) of Egypt is planning to hold its first electronic auction for gold and silver, scheduled to take place next week.

Michael Probst / the Associated Press file photo.
Michael Probst / the Associated Press file photo.


According to a statement on Tuesday, the auction will be facilitated through the Egyptian Mercantile Exchange (EME) trading platform.

Nagy Farag, the advisor to the supply minister for gold industry affairs, told Ahram Online that this move aims to generate more revenue streams for Egypt's treasury.

"The Egyptian government's overarching goal is to diversify the avenues through which gold is made accessible to the public," Farag added.

Previously, citizens could purchase gold exclusively from traditional goldsmith shops. However, with the advent of electronic platforms, consumers can now conveniently acquire gold through electronic auctions.

Farag added that citizens often buy gold as a safe asset during times of political turmoil, such as the ongoing war in Gaza. Consequently, the government is committed to ensuring that gold remains accessible through various channels.

Ahmed Soliman, head of the AWA, announced the eagerly anticipated auction, revealing that it will take place on Tuesday, with 66 gold bars and 41 silver bars available during the inaugural session.

In May, Egypt witnessed the launch of its first-ever gold investment fund, spearheaded by asset manager Azimut and investment company Evolve Holding.

According to the World Gold Council's (WGC) Gold Demand Trends report, Egyptians' demand for gold bars and coins experienced a marginal decline of 4 percent year-on-year, amounting to 6 tons in the third quarter of 2023.

The country's gold production amounts to about 15.8 tons per year, most of which comes from the Sukari mine in the Eastern Desert.

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