Bank of Uganda launches three year pilot to purchase domestic gold for foreign exchange reserves

The Bank of Uganda has launched a three-year pilot Domestic Gold Purchase Programme, with test purchases starting on 17 April 2026. The program is designed to buy and process domestically mined gold and add it to Uganda’s official foreign exchange reserves, with the aim of diversifying reserve assets, strengthening reserve adequacy and reducing exposure to risks associated with conventional reserve instruments. Under the pilot, the central bank will buy gold mined in Uganda from eligible, prequalified licensed miners and pay in UGX based on prevailing international gold prices. Gold will be delivered to designated prequalified refineries for assaying, stored at the Bank of Uganda, then refined domestically to meet international monetary gold standards before certification and inclusion in reserves. The program will test the full value chain over the pilot period and is built around a chain-of-custody and traceability framework developed with support from the Ministry of Energy and Mineral Development, aligned with the International Conference on the Great Lakes Region Regional Certification Mechanism. The bank also said it has obtained a Mineral Dealer’s License and is registered with the Financial Intelligence Authority as an accountable entity for anti-money laundering and countering the financing of terrorism requirements. The controlled three-year pilot is intended to test operations, strengthen controls and incorporate lessons learned before any scale-up.