KHARTOUM, March 6 (Xinhua) -- Despite the ongoing armed conflict, Sudan achieved a record gold output in 2024, totaling 64.4 tons and generating about 1.6 billion U.S. dollars in government revenue, according to a recent report by Sudan's state-run Mineral Resources Company.

"We've been working under complex conditions due to the ongoing war, yet we have overcome these challenges and achieved a record increase in gold production," said Mohamed Tahir Omer, director-general of the company, when releasing the report in Port Sudan last Thursday.

Sudanese Minister of Minerals Mohamed Bashir Abdullah Abu Nammu highlighted three key factors contributing to the growth of gold production.

First, 90 percent of gold-producing areas remain unaffected by the war; second, efforts to regulate gold production and prevent smuggling have been strengthened; third, workers have transitioned from sectors disrupted by the war to traditional gold mining, the minister said.

According to official figures, the traditional mining sector dominates gold production. However, accurately measuring its output remains challenging due to off-the-record sales and smuggling across border crossings.

In 2024, the traditional mining sector produced about 53 tons of gold, while companies with concessions produced around 11 tons.

Noting the crucial role of gold in Sudan's economy, Finance Minister Jibril Ibrahim underscored the need for its regulation.

"Sudan is one of the largest gold producers in Africa, and gold is a major contributor to the national budget, so we must regulate this vital sector," he said.

Economic analyst Abdul-Azim Awad, meanwhile, emphasized economic drawbacks, particularly the rampant gold smuggling, noting that "if the state can curb smuggling, gold revenues could reach 7 billion dollars annually."

He also urged the government to avoid sudden changes that could displace millions of workers, calling for gradual reforms and support for small- and medium-sized mining projects with modern equipment. According to previous government reports, the traditional mining sector employs more than 2 million people.

Since 2020, Sudan has implemented new gold trade regulations to enhance transparency and curb smuggling. These measures include allowing private sector exports, establishing a regulated gold market, launching a gold exchange, and developing refineries.

In May 2024, Sudan signed an agreement with Qatar to establish a new gold refinery in Doha to handle Sudan's gold exports, a vital source of foreign currency for the North African country.

According to the World Gold Council's report on gold production for 2023, Sudan ranked 16th globally and fifth in Africa.

Previous statistics from the Geological Research Authority, an affiliate of Sudan's Ministry of Minerals, showed that the country's confirmed gold reserves stand at 533 tons, with reserves under evaluation exceeding 1,100 tons.

Sudan has been gripped by a devastating conflict between the Sudanese Armed Forces and the paramilitary Rapid Support Forces since mid-April 2023, resulting in significant casualties and displacement, mass destruction, and bitter economic setbacks. Enditem

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