Members of Kenya’s National Assembly have intensified debate on the Gold Processing Bill, 2023, aiming to establish a legal and institutional framework for gold processing in the country. The Bill, sponsored by Ikolomani MP Bernard Shinali, seeks to streamline the collection, purification, smelting, fabrication, homogenization, sampling, registration, monitoring, and transportation of gold and its products.
Shinali emphasized that a well-regulated gold sector could significantly contribute to the nation’s economy. He cited examples from countries like Sudan, where structured gold processing has bolstered exports and increased revenue. “A comprehensive legal framework will enable Kenya to accumulate reserves and encourage foreign exchange,” he stated.
Currently at the second reading stage, the Bill also prioritizes environmental management and safety standards in gold mining and processing. Shinali noted that modern extraction methods need clear regulations to ensure sustainability and safety.
MPs representing gold-rich regions have thrown their support behind the Bill, highlighting the economic opportunities it presents. Shinyalu MP Fred Ikana emphasized the need for communities to benefit from their natural resources. “Kenya is a resource-rich country, and this Bill will establish a framework that ensures the nation maximizes the value of its gold deposits,” Ikana said.
Beyond economic benefits, lawmakers also underscored the Bill’s role in protecting small-scale miners from exploitation. Many artisanal miners face difficulties due to restrictive licensing fees, a concern raised by Migori County MP Fatuma Mohamed. She criticized the recent hike in application costs from Ksh 20,000 to Ksh 500,000, stating that it disproportionately affects miners in remote areas with limited access to electricity or the internet. “It can take up to four years for a miner to acquire a license. This Bill is necessary to protect them,” Mohamed stressed.
Illegal gold mining and smuggling have also contributed to significant revenue losses for the country. The Chairperson of the Committee on Environment, David Gikaria, pointed out that exporting raw gold without value addition deprives Kenya of potential earnings. “By processing gold locally, we can ensure that our artisanal miners benefit while also increasing foreign exchange earnings,” he stated.
If enacted, the Gold Processing Bill, 2023, will provide a structured and transparent system for Kenya’s gold sector, fostering economic growth, safeguarding miners, and ensuring the country fully capitalizes on its valuable natural resources.
