Editor’s Note
The UAE will mandate OECD-aligned audits for all gold refineries starting February 2022 to ensure responsible sourcing.
Gold refineries in the United Arab Emirates will be required to undergo audits to demonstrate that their gold bar deliveries are sourced responsibly, according to the country’s Ministry of Economy.
The audit process will follow the guidelines of the Organisation for Economic Co-operation and Development (OECD) and will be mandatory for all refineries starting in February 2022, the Ministry stated in a communiqué.
The measure comes in response to claims that the UAE allows gold bars from conflict zones to enter the country by air. In October, Switzerland instructed its refineries to strengthen audits on imports from the UAE to ensure illicit African gold is not involved.
Although the UAE government and the Dubai Commodities Exchange have consistently rejected such claims, some of the criticism may be alleviated by introducing inspections at refineries. Last year, the London Bullion Market Association threatened to blacklist countries that did not meet its responsible sourcing standards.
The Ministry’s Anti-Money Laundering Department conducted some audits in the fourth quarter of 2021 following different criteria, according to Sunday’s communiqué.
The UAE’s national Good Delivery Standard will also begin operating in February. The voluntary certification scheme will require its members, both within and outside the UAE, to “adopt the OECD guidelines regarding the responsible sourcing of gold,” the communiqué stated.
The UAE’s decision to require gold audits was first reported by the Reuters news agency.
