The U.S. Treasury on Thursday sanctioned Kigali’s Gasabo Gold Refinery and its chair Jean Malic Kilima, accusing them of processing gold mined by M23 rebels in eastern DR Congo. The move targets a network that allegedly smuggles minerals on behalf of Rwanda‑backed insurgents, adding pressure on Kigali to honor the 2025 peace accord brokered by Washington.

Rwanda’s gold earnings surged last year, with the IMF forecasting a jump as international prices rose. In 2024 the country exported a record 19.4 tonnes, valued at roughly $1.5 billion, becoming the top source of foreign‑currency inflows. Though Rwanda produces little ore itself, the refinery’s alleged role in channeling rebel gold threatens that revenue stream and could trigger broader sanctions on the sector.

U.S. officials say the illicit gold trade fuels instability in a region already battling the worst Ebola outbreak in years. Treasury Secretary Scott Bessent warned that rogue groups will no longer profit from mineral smuggling. The sanctions close a loophole that had allowed Rwanda‑linked firms to profit, effectively cutting off a key funding channel for M23 rebels. It also curbs China’s foothold in African minerals.