Gov’t mining policies endangering sector – Minority
The Minority in Parliament has accused the government of endangering Ghana’s mining sector with a string of harmful policies.
In a letter dated April 21, 2025, the opposition warned that the new measures will stifle growth, repel foreign investment, and trigger job losses.
The letter, addressed to the Ministers for Finance and Lands and Natural Resources, called the recent decisions “potentially dire” for Ghana’s economy.
It was signed by Kojo Oppong Nkrumah, Ranking Member on the Economy and Development Committee; Kwaku Ampratwum Sarpong, Ranking Member on the Lands and Natural Resources Committee; and Dr. Mohammed Amin Adam, Ranking Member on the Finance Committee.
The MPs criticised two new tax measures: a 3% Growth and Sustainability Levy on gross mining volumes introduced in 2025, and another levy set to take effect from 2026 to 2028. “These royalty-like levies are putting several mines already in distress into graver financial difficulties,” the Minority wrote.
They also argued that miners of other minerals, who have not seen price hikes, are being unfairly burdened by the taxes.
Even more alarming to the group is the new Goldbod Act, which bans foreign entities from trading and exporting gold.
They say it sends the wrong message to investors and violates the 1992 Constitution by retroactively affecting existing rights.
The Minority also condemned the government’s refusal to renew Gold Fields Ghana’s Damang mine lease.
They argue it undermines investor confidence and discourages long-term commitments. “The government could have used the renewal to renegotiate better terms, not force out an experienced operator,” the letter stated.
Another major concern was the government’s decision to defund 80% of the Minerals Income Investment Fund (MIIF), a key vehicle for Ghana’s equity participation in mining.
The Minority sees this as a retreat from the country’s ambition to take a meaningful stake in its resources.
They also raised alarms about a violent attack at a mining site that left eight dead.
According to the Minority, the attack was fueled by anti-investor rhetoric, and the stalled investigation only deepens investor fears.
The group slammed the recent abolition of Community Mining Schemes, saying it has created room for illegal mining. They argue the schemes should have been regulated, not scrapped.
In their closing remarks, the Minority called on government to rethink its approach.
They want the lease renewals restored, hostile rhetoric toned down, and a clear strategy to support local mining firms put in place. “This is the time when government must bolster economic stability and attract, rather than discourage, foreign direct investment,” they said.
