Overview:
Uganda's government is cracking down on gold fraud. Learn about the new plan to regulate the mineral trade, create designated buying centers, and use technology to track sales and deter criminals.
KAMPALA, UGANDA — Senior government officials are collaborating to combat rampant gold fraud, which they say is damaging the country’s economic reputation and preying on foreign investors.
During a follow-up meeting Wednesday at the State House Investors Protection Unit, officials from several government agencies, including the Ministry of Energy and Mineral Development, the police, and the State House Anti-Corruption Unit, outlined a strategy to streamline the gold trade.
“We must really work together if we are to tackle this challenge,” said Eng. Irene Batebe, Permanent Secretary for the Ministry of Energy and Mineral Development. “Efforts must be coordinated in an ecosystem arrangement.”
Batebe highlighted several steps her ministry is taking, including a proposal to the Attorney General to establish a law that would create designated gold markets and buying centers. She noted this would help curb the black market and mimic a system used in Tanzania, where gold is recorded and tracked. Batebe proposed Entebbe and Busia as selling centers, with Kassanda, Moroto, or Kotido as buying centers.
“Whoever will be caught trading outside these places will be marked as a criminal,” she said.
The officials also agreed to create a cyber desk at the Uganda Police Force to monitor online mineral fraud and to establish a search registry for mineral dealers.
Brig. Gen. Henry Isoke, head of the State House Anti-Corruption Unit, urged the government to implement “game-changing regulations” quickly to address the issue.
“We need to move faster, timeline is key, engage the Attorney General, Cabinet and have a law in place to regulate the sector,” he said.
The meeting follows a previous session in January where heads of government agencies first agreed on the need for coordinated action.