Kenya to ban unrefined gold exports without local processing

The head of state indicated that the Central Bank of Kenya (CBK) would become the primary buyer of locally mined gold. This arrangement will allow the institution to purchase gold produced in Kenya for its reserves while providing the government with greater visibility on prices and trade flows.

Three refineries are expected to provide the necessary processing capacity. William Ruto mentioned a facility under development in Kakamega and two others in Nairobi. He clarified that the ban would not be limited to gold and would also target resources such as coltan and rare earth elements.

This decision comes as Nairobi seeks to formalize a mining sector that is still largely dominated by small-scale operators and informal channels. In July, an amendment to the Central Bank Act expanded the powers of the CBK to buy, hold, refine, and trade gold as part of a national purchasing program.

The shift also extends Kenya’s strategy of local processing of critical minerals, which has been emphasized by the government. On September 9, the United States announced its support for the development of Kenyan processing capabilities, particularly around rare earth and niobium resources.

The Kenyan government has been advocating for local processing of raw materials for several months to reduce low-value exports. On October 1, 2025, William Ruto had already called for an end to the model of exporting raw products and minerals only to re-import them in processed form.