The new regulations were announced by Irene Batebe, Permanent Secretary of the Ministry of Energy, who emphasized that only parties holding valid licenses—including mineral dealer’s licenses, mining licenses, or refining licenses—will be authorized to engage in gold transactions. This decision follows alarming reports indicating that a significant portion of Uganda’s gold exports, especially to the United Arab Emirates, may be illicitly sourced.
Uganda has emerged as a key player in the gold market, exporting over $2 billion worth of gold in 2022. However, discrepancies between production data reported by the Directorate of Geological Surveys and Mines (DGSM) and the Uganda Revenue Authority (URA) have raised concerns about potential revenue losses from unregulated sales. The government’s efforts to regulate this sector are critical not only for economic growth but also for ensuring that Uganda’s resources are managed responsibly.