Uganda will begin purchasing gold from domestic producers this month under a new reserves diversification strategy, as highlighted by MarketScreener. The initiative marks the start of a Domestic Gold Purchase Programme aimed at strengthening foreign exchange reserves and supporting the country’s formal mining sector.
The Bank of Uganda plans to acquire at least 100 kilograms of gold between March and June 2026, working with licensed local refiners to ensure quality standards and regulatory compliance, Reuters reported. The purchases are expected to be valued at approximately $160 million, depending on prevailing market prices.
According to reporting by Business Insider Africa, the programme forms part of Uganda’s broader effort to diversify its reserve assets away from traditional hard currencies while strengthening oversight of the gold value chain. By sourcing refined gold domestically, the central bank also aims to curb smuggling, encourage formalisation of artisanal and small-scale mining, and promote value addition within the country.
The move aligns with a wider trend among emerging market central banks increasing gold holdings amid global economic uncertainty. Officials say the initiative will enhance financial stability, boost confidence in Uganda’s reserves position, and reinforce the role of gold in the country’s long-term economic strategy.
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