New campaign to curb illegal gold mining and trade

In October, Instituto Escolhas launched the campaign “Where does gold come from?” to pressure global market regulation and oversight in the face of increased demand for safer assets such as gold amid the financial crisis caused by the Covid-19 pandemic. The initiative states that the gold boom in the international market stimulates the advance of illegal mining in the Brazilian Amazon, reaching Conservation Units (UCs) and Indigenous Lands (TIs), thus increasing the exposure of communities to the virus. Due to current lack of regulation, financial institutions trade gold extracted illegally on a regular basis. According to the newspaper Folha de S. Paulo, Brazilian gold exports grew 30.5% from January to August and 2020, compared to the period in the previous year. To curb the purchase of illegal gold, the campaign will forward a proposal for regulation - in public consultation until November 3rd - to the Central Bank and the Securities and Exchange Commission (CNV), which regulates the capital market in Brazil.