Significant amounts of African gold reaching the United Arab Emirates (UAE) in the Middle East are significantly under-invoiced according to analysis by Reuters.
Gold smuggling is also a huge problem according to the news agency, which reckons billions of US dollars’ worth of gold is being smuggled out of Africa every year through the UAE.
After an extensive and detailed investigation, journalists David Lewis, Ryan McNeill and Zandi Shabalala report that customs data show that the UAE imported US$15.1 billion worth of gold from Africa in 2016, up from US$1.3 billion in 2006.
Much of the gold was not recorded in the exports of African states. Five trade economists interviewed by Reuters said this indicates large amounts of gold are leaving Africa with no taxes being paid to the states that produce them.
The UAE reported gold imports from 46 African countries for 2016. Of those countries, 25 did not provide Comtrade with data on their gold exports to the UAE. But the UAE said it had imported a total of US$7.4 billion worth of gold from them.
Most of the gold is traded in the emirate of Dubai, the UAE’s gold industry hub.
The full Reuters report, ‘Gold worth billions smuggle out of Africa’ can be found here.
Categories: Trade Based Financial crimes News