Who profits from Africa’s gold?

Published 27 June 2026 · india

African governments seek greater control over gold, but much of its value continues to flow abroad. Johannesburg, South Africa – Mansa Musa, the 14th-century emperor

African governments seek greater control over gold, but much of its value continues to flow abroad. Johannesburg, South Africa – Mansa Musa, the 14th-century emperor of the Malian Empire, often comes to mind whenever African gold enters the conversation. Renowned for his immense wealth, he is often described as the richest man in history, largely due to the vast gold resources of his empire. Yet centuries after Mansa Musa’s reign, Africa’s relationship with gold remains paradoxical. The continent possesses some of the world’s richest gold deposits, but much of the wealth generated by the industry continues to be captured elsewhere. According to the United Nations Environment Programme (UNEP), Africa holds about 40 percent of the world’s gold reserves. Although Africa remains one of the world’s most gold-rich regions, it continues to occupy the lower end of the global value chain. Gold extracted across the continent is largely exported, mainly to the United Kingdom, where it is refined, traded and priced. As a result, the most profitable stages of the industry remain concentrated elsewhere, creating a persistent gap between extraction and value capture. “Africa’s position reflects structural constraints, including limited refining capacity, capital bottlenecks and historical trade patterns that favour exporting unrefined gold, allowing offshore markets to capture the highest-value margins in refining and trading,” Kate Collett, insights analyst at Africa Practice, told Al Jazeera. Increasingly, African governments are not only seeking to extract more gold but also to retain greater control over it. That ambition extends beyond mining policy. Across the continent, policymakers are increasingly viewing gold as a strategic financial asset that can strengthen reserves, reduce external vulnerabilities and support greater economic sovereignty. A shift in global reserves Gold has re-emerged as a strategic reserve asset in an increasingly fragmented global economy. Unlike fiat currencies, it is widely seen as retaining value during periods of inflation, geopolitical tension and financial uncertainty. Across the Global South, central banks have increased gold accumulation in recent years as part of efforts to diversify reserves and reduce exposure to external financial systems.

This trend is visible in major emerging-market economies, including China, Russia, India and Turkiye, according to data from the World Gold Council. By accumulating gold, central banks reduce reliance on foreign currencies and hold reserves outside the direct control of any single financial system. African countries have joined this shift in an effort to strengthen economic stability, build reserve buffers and increase financial sovereignty. Within Africa, Ghana, one of Africa’s leading gold producers, has increased the proportion of locally produced gold purchased by the central bank under its domestic gold accumulation programme, according to Bank of Ghana reporting and policy communications. Nigeria has pursued broader reserve diversification strategies, including increased interest in gold as part of efforts to strengthen the composition of its external reserves, according to central bank statements and analysis by international financial institutions, including the International Monetary Fund (IMF) and the World Gold Council. Tanzania requires approximately 20 percent of gold output from mining companies and traders to be allocated for sale to the central bank under its reserve-building framework, according to Bank of Tanzania regulations. Guinea has tightened licensing and export controls in its mining sector, part of wider efforts to increase state oversight and capture more domestic value. According to analyst Thea Fourie, head of regional analysis for the Middle East and Africa at S&P Global Market Intelligence, rising gold prices have reinforced these shifts. “This trend aligns with a broader geopolitical shift towards de-dollarisation … including the development of alternative payment systems and increased use of local currencies in trade,” she told Al Jazeera. For African producers, this changing global financial environment has accelerated the use of gold as a tool of economic sovereignty, analysts say. Capturing more of the value chain Across the continent, governments are also trying to retain more value from domestic production by tightening oversight of mining and reshaping how gold moves from extraction to export. Ghana has expanded its central bank gold purchasing programme.