Sudan’s Central Bank Lifts Gold Export Ban
On November 5, 2025, in Port Sudan, Sudan’s central bank made a significant decision to allow companies to export gold. This move comes after a previous ban imposed in September of the same year, which had created tension between state institutions and exporters who opposed the restriction.
The central bank’s decision, issued on September 15, led to a crisis as it was met with resistance from those involved in the gold export sector. The circular released by the bank stated that “it allows the export of gold by any legal person after fulfilling export procedures, provided that it is exported according to international market prices.” This means that companies can now export gold, but they must follow specific guidelines.
One of the key stipulations is that payments for gold exports must be collected via advance payment or letters of credit. These payments should not include conditions related to the calibration of the goods abroad. Additionally, the value of the export proceeds must be repatriated within 30 days from the shipping date. The central bank also permitted gold exporters to use their export proceeds and allowed them to sell the gold to any bank or the central bank itself.
Economic Implications and Regulatory Controls
Sudan’s gold production in areas under central government control reached 53 tons during the first nine months of this year. However, the export proceeds did not exceed $909 million, leading several bodies to investigate the price discrepancies. To address these issues, the central bank obligated gold exporters to adhere to controls issued by various ministries and organizations, including the Ministry of Industry, the Ministry of Minerals, the Sudanese Standards and Metrology Organization, and the Sudan Gold Refinery Company.
The minimum requirement for approving an export contract is set at 10 kilograms of gold. Furthermore, the central bank prohibited government agencies and foreigners, whether individuals or companies, from exporting the precious metal, except for concession companies. This regulation aims to ensure that the export of gold is controlled and monitored effectively.
Challenges in the Gold Sector
Most of the gold produced in Sudan comes from artisanal mining, which employs nearly two million people. Many companies rely on extracting gold from traditional mining residues, known as “Karta,” which they process using chemical substances such as cyanide. This method raises environmental and health concerns, especially in regions where mining activities are prevalent.
Unfortunately, much of the gold produced in Sudan is smuggled to several countries, including the UAE and Egypt. This smuggling deprives Sudan of hard currency needed to finance the import of essential goods, particularly wheat flour and fuel. The loss of revenue has a significant impact on the country’s economy, especially in times of crisis and instability.
The Role of the Central Bank
The central bank’s circular limited its role to purchasing gold to build in-kind reserves. This approach is aimed at stabilizing the local currency and managing the country’s foreign exchange reserves more effectively. However, the challenge remains in ensuring that the gold export process is transparent and that the benefits are maximized for the national economy.
The lifting of the gold export ban is a positive step, but it also highlights the need for stronger regulatory frameworks and better enforcement mechanisms. With proper oversight, Sudan could potentially benefit more from its gold resources, contributing to economic growth and stability.
Conclusion
Sudan’s decision to allow gold exports marks a turning point for the country’s economy. While there are challenges ahead, the potential for increased revenue and improved economic conditions is promising. The central bank’s role in regulating the export process will be crucial in ensuring that the benefits of gold exports are realized and that the country can make the most of its natural resources.