Uganda’s gold exports rocket 76% to record $5.8b, surpassing Coffee

By: Chidozie Nwali

Uganda’s gold exports surged by a staggering 75.8% in 2025, reaching an all-time high of $5.8 billion (Shs 21.1 trillion), according to fresh data released by the Bank of Uganda on Tuesday.

The surge, fueled by record-breaking global prices and an influx of new industry players, has firmly established gold as the East African country’s leading export, eclipsing coffee and fundamentally reshaping the nation’s economic landscape.

Coffee exports for 2025 reached a record 8.4 million bags, valued at $2.4 billion (Shs 8.2 trillion), a 77.3% growth.

The Bank of Uganda (BoU) attributed the leap to a combination of internal industrial scaling and external market volatility. Adam Mugume, the BoU Executive Director for Research and Economic Analysis, noted that attractive international prices—which neared $4,000 per ounce late last year—incentivized a rush of new dealers and refiners into the sector.

The global gold price rise, which grew by over 64% during 2025, was largely driven by: Conflicts in Eastern Europe and the Middle East spurred “safe-haven” buying.

A significant driver of the growth is Uganda’s strategic shift toward value addition. The country now operates at least nine gold refineries, including the high-capacity Wagagai mine and refinery in eastern Uganda, a $250 million investment.

“The surge reflects a decisive shift from raw mineral exports to value addition,” said Energy Minister Ruth Nankabirwa. “We are now producing gold at 99.99% purity, meeting international bullion standards.”

Uganda has also cemented its role as a regional processing hub. While domestic production is growing, a large portion of the exported bullion is sourced as raw gold from neighboring DRC, South Sudan, and Tanzania, refined in Kampala or Entebbe, and then shipped to markets in the United Arab Emirates (UAE), India, and Europe.

The “Gold Boom” has provided a critical cushion for the Ugandan economy. The influx of foreign exchange contributed to a 2.48% appreciation of the Ugandan Shilling in 2025 and helped push national foreign reserves to a record $5.7 billion.

However, the rapid growth has not been without controversy. An Auditor General’s report recently highlighted that while billions are being earned by private exporters, government revenue from the sector remains disproportionately low. There are also ongoing calls for tighter regulation to curb smuggling and ensure that artisanal miners benefit from the windfall.