Inaugural e-auction for gold and silver bars to be held next week, AWA head

Cairo – November 8, 2023: Egypt will launch its inaugural electronic auction for gold and silver next week, according the Assay and Weights Administration (AWA) on Tuesday.

The event will place 66 gold bars and 41 silver bars for auction next Tuesday, explained Head of the AWA, Ahmed Soliman, enabled by the Egyptian Mercantile Exchange (EME) trading platform.

The auction is part of the government’s overall goal to diversify the ways gold is available to the public, said advisor to the supply minister for gold industry affairs Nagy Farag, adding that the auction aims to open up a new revenue stream to support Egypt's treasury. Traditionally, gold was exclusively available for purchase at goldsmith shops.

The auction is within the government’s overall goal to diversify the ways gold is available to the public, Farag explained.

Egyptians tend to purchase gold as a safe during challenging times, said Farag, highlighting the war on the Gaza Strip.

Gold has been on the government’s mind lately, with a new resolution against unregistered gold trading and launching the country’s inaugural gold investment fund.

The Ministry of Supply and Internal Trade released a decree last week to regulate precious metals transactions in the local market by banning the trade, export, and import of precious metals without a permit from the Assay and Weights Administration.

In May, Egypt launched its first-ever gold investment fund, managed by a joint venture between Evolve Holding and Azimut Egypt. "The establishment of investment funds for precious metals will help control the market, increase transparency, and ration demand for gold ingots and coins," said then chairman of the Egyptian Exchange Rami El-Dokani.

Egypt’s Ministry of Petroleum and Mineral Resources began work on its unified digital platform for mining ores and gold, set to facilitate access to geological data for research, as well as exploration and production activities in Egypt to promote investments.

The World Gold Council revealed in its February report that the Central Bank of Egypt had the 3rd highest growing gold reserves in 2022, with the bank strengthening its gold reserves to 125 tons.

According to the General Organization for Export and Import Control, Egypt’s gold exports expanded by 45 percent in 2022 to $1.633 billion, up from $1.126 billion in 2021.