Ghana would benefit from elevated gold prices in 2024 and 2025, Fitch Ratings has disclosed.
According to the UK-based firm, gold prices will remain high during the forecast period.
In a report titled “Global Gold Mining — Relative Credit Analysis”, Fitch said the gold producers’ 2023 sector credit outlook is stable, supported by healthy balance sheets.
According to the UK-based firm, the gold producer financial metrics remain strong for respective ratings partially driven by a period of high gold prices beginning in 2020. “Gold producer financial metrics remain strong for respective ratings partially driven by a period of high gold prices beginning in 2020, which drove higher shareholder returns and investment as well as stronger financial flexibility”.
Again, gold prices have been resilient despite raising real interest rates beginning in 2022, supported, in part, by geopolitical factors.
The precious metal has been trading high this year, going for a little above $1,900 per ounce. According to the Bank of Ghana, gold continued to dominate the total value of exports, recording $4.67 billion in the first eight months, higher than the $4.22 billion recorded during the same period last year.