Ghana to Implement Comprehensive Gold Traceability System by 2026

Strategic Insights -

Ghana's efforts to formalize the small-scale mining sector and curb illegal gold trading have been underway since the establishment of the Ghana Gold Board by the previous government. The Chief Executive Officer of the Goldbod, Mr Sammy Gyamfi, emphasized the importance of implementing a comprehensive gold traceability system to address the historic lack of traceability in the sector. This system will enable the identification of gold exports and the source of gold, reducing the risk of illegal gold trading.

Key Takeaways:

  • Ghana's small-scale gold mining sector has been informal and lacks traceability, dating back to the colonial era.
  • The Ghana Gold Board, established by the NDC government, has implemented an online licensing system, eliminating the need for physical human interaction during the licensing process.
  • As of now, 615 licenses have been approved, with 319 already printed and issued.
  • The licenses include Aggregator license - 1, Self-financing aggregator licenses - 4, Tier 2 (sub-aggregators) - 263 approved, 192 issued, and Tier 1 buyers - 348 approved, 123 issued.
  • The implementation of the traceability system will take time and is expected to be medium-term, with a goal of having it in place by 2026.
  • Once the system is in place, gold that cannot be traced to its origin may be blocked from export, and punitive measures will be introduced.
  • The Chief Executive Officer of the Goldbod called for public patience and support as the government embarks on this critical reform to fight illegal mining, safeguard national revenue, and boost investor confidence in the mining sector.
  • The establishment of the Goldbod has introduced transparency and accountability in the licensing process, with applicants able to track their application progress entirely online.

Statistics:

  • 615 licenses have been approved, with 319 already printed and issued.
  • 1 Aggregator license has been issued, 4 Self-financing aggregator licenses have been issued, 263 Tier 2 (sub-aggregators) licenses have been approved, with 192 issued, and 348 Tier 1 buyer licenses have been approved, with 123 issued.
  • The implementation of the traceability system is expected to be medium-term, with a goal of having it in place by 2026.

Sources:

  • [Interview with Mr Sammy Gyamfi, Chief Executive Officer of the Goldbod, on Asempa FM's Ekosiisen programme]
  • [Press release from the Ghana Gold Board]