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The nation boasts an array of economic mineral resources, including gold, manganese, bauxite, and more. However, mismanagement and a lack of local involvement hinder the sector's potential contribution to the economy, currently standing at 5.5% of Ghana's GDP.
Historically, the mineral sector was state-owned until the early 1980s when privatization took over. Although regulations and policies exist to attract both local and foreign investors, the sector faces hurdles like high financial demands and inadequate technology, pushing locals towards illegal and environmentally harmful mining practices.
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The environmental and health challenges are exacerbated by the sector's failure to adapt to modern methods. Outdated technologies and the absence of local refining contribute to capital flight, with foreign conglomerates dominating the industry. The lack of reinvestment by these entities further stalls the sector's growth and development.
Political thievery stands out as a major stumbling block. Entrusting the sector to political figures has led to a lack of transparency and accountability, resulting in funds being diverted for personal gains. Despite generating over ten billion dollars from a decade of oil production, tangible projects benefiting the nation are scarce, pointing to a systemic issue of funds not being utilized sustainably.
The Public Interest Accountability Committee (PIAC) highlights the misuse of oil revenue, with politicians owning mining concessions and favoring their associates. To sanitize the mining sector, strict regulations conforming to international standards are crucial. Emphasis should be placed on environmental, social, and health considerations. Local participation and refining should be encouraged, and laws must be enforced to prosecute those, including political actors, who breach them. Only through such measures can Ghana's mineral sector truly realize its potential and contribute meaningfully to the nation's prosperity.
