Government pushed to centralise gold trade in bid to curb fraud and boost investor confidence

Uganda’s mineral sector players are pushing for the establishment of a centralised gold buying system as part of wider reforms aimed at reducing fraud, improving traceability and strengthening investor confidence in the country’s lucrative gold trade.

The proposal dominated discussions during the Mining and Minerals (Mineral Markets and Buying Centers) Regulations 2026 consultation workshop held at Speke Resort Munyonyo on May 14 and 15, 2026.

The workshop brought together regulators, refiners, traders and security officials to discuss compliance, market integrity and sustainable growth in the sector.

Stakeholders agreed that a regulated one-stop mineral buying centre would help eliminate scams, streamline gold transactions and formalise trade that has for years operated through fragmented and informal channels.

Under the proposed regulations, the government plans to establish mineral buying centres in gold-producing areas while Kampala will host a central office for gold trading activities.

Authorities also want all traders to undergo fingerprint registration as part of tighter compliance measures.

“We propose that markets operate within regulated hours up to five o'clock. Security is very critical, especially when you are moving gold at night,” Agnes Alaba, Assistant Commissioner at the Ministry of Energy and Mineral Development, said.

“We have noted that there are investors who order gold and minerals without licences. Every operation must take place within the market, and every trader must have a licence granted by the ministry,” she added.

Assistant Commissioner of Police Julius Ceasar Tusingwire, Commandant of the Police Minerals Protection Unit, said organised mineral markets would help address security concerns surrounding fraud and scams.

The proposed regulations would require all mineral trade to take place only within licensed and government-regulated buying centres. Unlicensed dealers and buyers would face tougher penalties.

Speaking at the workshop, Benard Feni, Executive Director of Euro Gold Refinery SMC Ltd, said operators of the proposed centres should have refining capacity, modern testing technology and valid licences from the ministry.

“The company should be able to refine gold to 99% purity, hold a Fire assay, and have the latest technology while meeting all internationally set standards,” Feni said.

He added that operators should provide certificates of origin, Uganda Revenue Authority clearance, export permits and internationally recognised certifications.

“It should be a true one-stop centre that gives buyers the right information, handles export processes, and provides certificates of origin showing where the gold comes from. That will quicken the process and eliminate scams,” he said.

The reforms come as Uganda seeks to extract more value from its gold sector. Recent figures show the country exported gold worth $5.8 billion, with much of it originating from artisanal and small-scale miners operating outside formal systems.

The Bank of Uganda recently finalised a contract with Euro Gold Refinery under the Domestic Gold Purchase Programme to strengthen local refining capacity and reduce dependence on raw exports.

Feni said the refinery’s long-term ambition was to position Uganda as a regional gold hub by 2030.

“By 2030, we want Uganda to be known not just for exporting raw materials, but for producing high-quality, 24-karat bullion for the global market,” he said.

The Ministry of Energy and Mineral Development is currently reviewing submissions from stakeholders before finalising the 2026 regulations.