Minority to government: New policies would hinder the expansion of the mining sector.

The government has been warned by the minority in parliament that its recent mining-related decisions may hinder development, deter foreign investment, and result in a greater number of job losses.

The opposition called a number of recent actions “potentially dire” for the nation’s economic stability in a letter dated April 21, 2025, sent to the Ministers of Finance and Lands and Natural Resources.

A three percent Growth and Sustainability charge on gross mining volumes is one of the measures, and another charge is planned for 2026–2028.

THE TAXES

The letter was signed by Dr. Mohammed Amin Adam, Ranking Member on the Finance Committee; Kwaku Ampratwum Sarpong, Ranking Member on the Lands and Natural Resources Committee; and Kojo Oppong Nkrumah, Ranking Member on the Economy and Development Committee.

The Minority cautioned that the taxes were inhibiting new investment and increasing the financial strain on struggling mines.

“These royalty-like levies are putting several mines already in distress into graver financial difficulties,” the letter claimed.

The MPs also pointed out that the increased tariffs unjustly punish enterprises who extract other minerals that have not seen price spikes.

The newly approved GOLDBOD Act, which prohibits foreign corporations from trading and exporting gold, is also concerning, according to the Minority MPs.

The Minority contends that by retrospectively impacting preexisting rights, this action not only breaches the 1992 Constitution but also sends a bad message to the international investor community.

Other issues
The government’s refusal to extend Goldfields Ghana Limited’s mining lease was also denounced by the group.

Ghana could have utilized the renewal process to renegotiate better conditions instead of forcing an established operator out, the Minority argued, adding that this refusal erodes investor trust and deters long-term investments to the nation.

The government’s move to defund 80% of the Minerals Income Investment Fund (MIIF), which customarily backs the state’s equity holdings in mining companies, was also criticized.

According to the Minority, this action shows a retreat from Ghana’s goal of having significant stakes in resource development.

The statement mentioned a violent event at a mine that claimed eight lives in addition to economic worries.

The Minority voiced disappointment at the investigation’s delay, which they claim further erodes investor trust, and connected the attack to anti-investor sentiments from prominent officials.

The recent elimination of Community Mining Schemes was also criticized by the opposition, which cautioned that it has allowed illicit mining operations to grow.

They contend that the government ought to have formalized and controlled the initiative rather than abandoning it.

The minority demanded that the government reconsider its policies, reinstate lease renewals, provide incentives, refrain from using aggressive language, and provide a clear framework for expanding regional mining companies.

They came to the conclusion that the government should support economic stability and encourage foreign direct investment rather than deter it.

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