Sudan’s gold

By global standards Sudan is not a major gold producer – around 42 tonnes in 2022, making it Africa’s third biggest producer, and less than half its estimated output in 2018. Sudan’s central bank banned in March 2022 the export of gold except for companies operating mining concessions, reversing a ruling 0f 2020 which had allowed private entities to export the metal. It’s believed that more than half of Sudan’s gold is smuggled overseas. Now the country is sadly embroiled in a vicious conflict between war lords, with much destruction and human misery.

The US news channel CNN alleged last year that at least 16 flights had smuggled Sudanese gold into Russian hands at the Syrian port city of Latakia, where Russia has a major airbase. The suspicion is that Russia’s private mercenary army, the Wagner Group, which has a presence in several African states, is facilitating this smuggling via a company called Meroe Gold, which has been sanctioned by the US and is alleged to have links to Wagner.

Russia, as part of the BRICS group, is seeking to diversify its trading arrangements from the US Dollar; it has been accumulating gold in its official reserves. In March, Russia sold 3.1 tonnes of gold from these reserves.