Uganda’s central bank has announced it will begin purchasing domestically produced gold this month, joining a growing list of global central banks increasing their bullion reserves amid record-breaking prices. The move is aimed at strengthening foreign exchange reserves and protecting the economy from global financial volatility.
According to central bank official Adam Mugume, Uganda plans to buy at least 100 kilograms of gold between March and June 2026, with agreements being finalised with local refineries to ensure proper fire assaying and required purity standards.
Gold Prices Surge Above $5,000
Gold has been on a sustained bull run, driven largely by strong central bank demand and rising geopolitical tensions. As of early 2026, prices have climbed above $5,000 per ounce, representing a sharp increase from the previous year As reported by Africa Inside Business.
Uganda’s Expanding Gold Industry
Uganda exported $5.8 billion worth of gold last year, a 76 percent rise from 2024. While artisanal miners dominate production, the country launched its first large-scale gold mine in 2025, a Chinese-owned facility expected to boost output significantly.
The central bank plans to buy gold from artisanal, medium, and large-scale miners, strengthening domestic refining and reserve capacity.
Africa’s Broader Gold Strategy
Uganda joins other African nations, including Ghana, Zimbabwe, Nigeria, and the Democratic Republic of the Congo, in increasing gold reserves to hedge against inflation, currency depreciation, and global market shocks.
