What's Happening?
The President of the Ghana Chamber of Mines, Mr. Michael Edem Akafia, has called for the urgent enactment of a Minerals Revenue Management Act in Ghana. This appeal was made during the 11th Ghana Mining Industry Awards in Accra. Mr. Akafia emphasized
the need for a structured framework similar to the Petroleum Revenue Management Act to ensure the sustainable use of Ghana's mineral wealth. He argued that such an act would enhance transparency, accountability, and equitable use of mineral revenues, benefiting both current and future generations. The Chamber's CEO, Ing. Dr. Kenneth Ashigbey, also praised the government's decision to remove VAT on exploration activities in the 2026 Budget, which is expected to boost investment in the mining sector.
Why It's Important?
The proposed Minerals Revenue Management Act is significant as it aims to provide a transparent and accountable framework for managing Ghana's mineral wealth. This could lead to more efficient use of resources, ensuring that revenues are invested wisely for future needs. The removal of VAT on exploration activities is also crucial as it could enhance Ghana's attractiveness as a mining hub, potentially leading to increased foreign investment and economic growth. However, the call for policy consistency highlights the challenges faced by the mining sector due to frequent policy changes, which can create instability for long-term investments.
What's Next?
The next steps involve the Ghanaian government considering the enactment of the Minerals Revenue Management Act. This would require collaboration between policymakers, industry stakeholders, and civil society to ensure the act's successful implementation. Additionally, the government will need to address the challenges posed by illegal mining, which Mr. Akafia described as a significant threat to Ghana's environmental and economic future. Strengthening enforcement and promoting community transformation through initiatives like the Chamber's Tertiary Education Fund could also be part of future strategies.
Beyond the Headlines
The broader implications of this development include the potential for Ghana to become a regional leader in mining technology and sustainability. As global trends shift towards automation, digitalization, and decarbonization, Ghana could capitalize on these opportunities by strengthening local content and skills training. The emphasis on community transformation and human impact stories from the awards night also highlights the potential for mining to positively impact local communities when investments are directed towards people and development.
