The Reserve Bank of Zimbabwe (RBZ) says the country’s January to July gold output stood at 20,8 tonnes, reflecting a 72 percent increase compared to 12,1 tonnes produced in the same period last year.

In an update on the state of the gold mining sector, RBZ Governor, Dr John Mangudya said incentives being put in place for the gold miners are bearing positive results.

He stated that with output now pegged at 20,8 tonnes, Zimbabwe is therefore  on course to achieve this year’s target of at least 30 tonnes by year end.

The statistics from the central bank also indicate that the mineral has so far raked in more than $600 million from export receipts.

Earlier this year, the central bank increased a gold support facility to $150 million in order to increase the capacity of large and small scale miners to improve operations.

Production data from the central bank also indicate that Zimbabwe produced 24,8 tonnes of the commodity last year, 21,4 tonnes in 2016 and 18,4 tonnes in 2015.

Zimbabwe, according to Dr Mangudya, arguably has the second largest gold reserves per square kilometre in the whole world with 13 million tonnes of gold, proven, underground but since 1980, the country has only managed to mine 580 tonnes.

According to the World Gold Council report, gold demand in 2018 is expected to be driven by trends in the global economy including heightened political and geopolitical risks, currency depreciation, rising inflation expectations, inflated stock market valuations, long-term Asian growth and opening of new markets.