A report by Fitch Solutions states that global gold mine production growth is expected to rebound in the coming years underpinned by higher gold prices and mergers between major mining firms.
“We forecast global gold production to increase from 106moz in 2020 to 133moz by 2029, averaging 2.5% annual growth,” the document states. “This would be an acceleration from the average growth of just 1.2% over 2016-2019.”
Putting the spotlight on Russia, Fitch predicts that the eastern European giant is set to overtake China a decade from now, growing from 11.3moz in 2020 to 15.5moz in 2029. This would represent average annual growth of 3.7% during the period and would see Russia accounting for 11.6% of global output by 2029, compared to 10.6% in 2020.
In the market analyst’s view, Russia’s increase in gold production is being fueled by the ongoing and expanding US sanctions.
“The rising risk of Russian state banks being frozen out of dealing in dollar-denominated assets all together as bilateral relations remain strained is pushing the Russian central bank to increase its holdings of gold.
For the rest of this article: https://www.mining.com/russias-gold-mine-production-growth-to-overtake-chinas-by-2029-report/