Washington tightens screws on M23 and Rwanda with new gold sanctions

The United States Treasury Department has imposed sanctions on Gasabo Gold Refinery, a Rwandan gold processing company, and its director Jean Malic Kalima. American authorities accuse them of facilitating the extraction, transport, and resale of gold illegally smuggled from eastern Democratic Republic of Congo.

According to Washington, the refinery worked closely with Rwandan government officials and M23 rebels. Rwandan soldiers and armed movement fighters allegedly secured gold transport to Bukavu before it was shipped to Kigali for refining.

Early in 2026, nearly 60 kilograms of gold worth several million dollars were illicitly moved into Rwanda, the Treasury stated.

This action comes as accusations of looting Congolese natural resources mount and violence persists in the country’s east.

Financial penalties

Washington says these measures aim to stop armed groups from profiting from illegal resource exploitation.

“The United States will not allow outlaw groups to profit from the illegal mineral trade to destabilise the region. The DRC’s mineral wealth rightfully belongs to the Congolese people,” said Treasury Secretary Scott Bessent.

Concretely, the sanctions freeze all assets held in the US by the company and its director. They also ban any US company or citizen from doing business with them. Foreign firms using the dollar or with US subsidiaries could also be affected.

Mineral trade at the heart of eastern DRC conflict

Since its resurgence in late 2021, the M23 has controlled vast territories in eastern DRC provinces rich in strategic minerals. Kinshasa, the United Nations, and several Western countries accuse Rwanda of militarily backing the armed group—an accusation Kigali continues to deny.

Mineral exploitation is one of the rebellion’s main funding sources. In April 2024, the M23 seized Rubaya, one of the world’s largest coltan mining sites. This area supplies about 15% of global coltan, a mineral essential for smartphones, computers, and other electronics.

The armed group levies taxes on mineral extraction and trade, generating substantial revenue.

Fresh accusations of looting Congolese resources

The US sanctions come weeks after an investigation by NGO Global Witness. It claims hundreds of tonnes of coltan illegally mined in eastern DRC were laundered in Rwanda before being exported to smelters that feed supply chains of major electronics manufacturers.

UN experts say approximately 120 tonnes of coltan were exported monthly to Rwanda between May and October 2024 from M23-controlled areas.

These new sanctions show Washington’s determination to target not only armed groups but also the commercial networks that finance their operations. They also revive debate over tracing strategic minerals and the responsibility of international players in global supply chains.