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The Finance Minister of Ghana, Dr. Cassiel Ato Forson, Ph.D., has inaugurated a Technical Committee to draft a legal framework for the establishment of the Ghana Gold Board (GoldBod).
Speaking at the Ministry of Finance on 27th January 2025, Dr. Forson highlighted the pressing need to formalise and regulate the small-scale gold mining sector to maximise the country’s economic gains.
This initiative, championed by His Excellency President John Dramani Mahama, aims to revitalise the economy by addressing the challenges of gold smuggling, fragmented gold purchasing systems, and limited foreign exchange accumulation.
The Ghana Gold Board is envisioned as a specialised agency responsible for managing and marketing gold resources from the small-scale mining sector.
Unlike the current system, the GoldBod will act as the sole buyer of gold from licensed aggregators and traders, ensuring traceability and compliance with international standards.
Additionally, the agency will promote value addition across the gold value chain, from extraction and refining to marketing on both local and international platforms.
The move aligns with Ghana’s ambition to secure London Bullion Market Association (LBMA) certification and boost its credibility in the global gold market.
Dr. Forson expressed concern over the chaos in the current gold purchasing sector, which includes multiple stakeholders such as the Precious Minerals Marketing Company (PMMC), the Bank of Ghana, and private aggregators.
The lack of coordination and regulation has resulted in significant gold smuggling, depriving the nation of much-needed foreign exchange.
In 2024, Ghana legally exported gold worth nearly $5 billion, but it is estimated that the value of smuggled gold was almost double this figure. To combat this, the GoldBod will enforce stringent monitoring and compliance measures, ensuring 100% repatriation of foreign exchange from small-scale gold exports.
The Technical Committee tasked with drafting the Bill comprises seasoned experts from various institutions, including the PMMC, Minerals Commission, Bank of Ghana, and the Ministry of Finance.
Legal practitioners, financial analysts, and industry leaders have been brought together to ensure a comprehensive and robust legal framework.
The committee will also amend relevant laws to streamline gold exports and create a conducive environment for the GoldBod’s operations.
Dr. Forson urged the members to work diligently and adhere to the timelines set for the completion of their mandate.
With the establishment of the Ghana Gold Board, Ghana stands to benefit significantly from its gold resources, particularly by stabilising the national currency and increasing foreign exchange reserves.
Dr. Forson called on all stakeholders in the mining sector to support this transformative initiative, which represents a critical step towards harnessing the full economic potential of Ghana’s gold.
The government has committed to providing the necessary funding to purchase all gold from the small-scale sector, ensuring a stable and transparent system that will drive national development.
source: myjoyonline.com
Yaw Boagyan
