Dominic Raab, in partnership with the World Gold Council, today releases a new report examining the systemic threats of the illicit gold trade through artisanal and small-scale mining (ASGM).
The Silence is Golden report finds that the ASGM industry, responsible for around 20% of the annual gold supply and around 80% of gold mining jobs1, is the target of criminal gangs, armed groups and corrupt officials, which represents a real and present danger to international security.
This report indicates that the main fundamental challenges facing ASGM are:
1) Lack of transparency from businesses and governments regarding the implementation and compliance with legal standards.
2) Failures in accountability result in serious violations of national law and international obligations, allowing criminals to operate freely.
3) Criminals profit enormously from serious human rights violations, due to the lack of links between the implementation and compliance efforts of nations and international agencies.
In response to this situation, the report presents four strategic objectives and 24 practical actions for governments, international organizations, NGOs, mining companies and economic development organizations. This includes pursuing and disrupting criminal offenders and supporting a coordinated and focused international effort between G7 and G20 countries to tackle these pervasive problems.
“Governments, international organizations and the gold industry must work together to pursue criminals, prevent illicit profits and integrate responsible ASGM into the legal and viable supply chain,” says Dominic Raab, former vice-president. Prime Minister of the United Kingdom and author of the report. “It will now take coordinated and sustained international attention and action to prevent illicit flows of gold from financing the war in Ukraine and allowing Al-Qaeda and the Islamic State to regroup in Africa. »
“In the absence of viable economic alternatives, the poorest and most marginalized citizens of our world are forced to mine gold on an artisanal basis, in dangerous conditions and with little economic benefit for their families,” says David Tait, CEO of the World Gold Council. “Our partnership with Dominic Raab is a call to action to divert illicit gold away from global bad actors and improve the lives of those working in the sector, providing avenues for action for governments and international agencies aiming to contribute to positive change, both environmental and economic, for the millions of people affected around the world.”
ASGM, as defined in the report, is the mining of gold by individuals or small businesses with limited capital investment and production. Although this practice extends to 80 countries, it is particularly concentrated in Africa, Asia and Latin America. The majority of ASGMs operate outside of formal legal frameworks, in the shadow economy, making them particularly likely to present serious risks and challenges, including tax evasion for governments, lack of standards of basic safety that can lead to mercury poisoning and other illnesses, as well as safety concerns for miners and their communities.
