Ghana Urged to Prioritize Local Mining Companies in Leases

Strategic Insights -

Ghana's government is under pressure to reassess its mining policy and prioritize local companies in lease agreements, with experts arguing that this would maximize the country's gains from its natural resources. The Institute of Economic Affairs (IEA) Chairman, Dr Charles Mensa, has called for a shift in the country's mining sector, citing decades of dominance by foreign multinationals that export minerals in their raw form and leave minimal returns for Ghana. Dr Mensa believes that granting leases to indigenous firms and supporting them to add value would create jobs, strengthen industries, and drive national prosperity.

Key Takeaways:

  • Ghana's mining sector has been dominated by foreign multinationals for decades, resulting in minimal returns for the country in terms of royalties and taxes.
  • Local companies, when empowered with the right financing, technology, and regulatory support, can set up processing plants to refine gold, bauxite, manganese, and lithium in Ghana, boosting domestic industries and increasing revenue generation.
  • The recent decision to grant mining leases to E and P is a step in the right direction, demonstrating that local investors have the capacity and commitment to manage large-scale operations responsibly.
  • A deliberate focus on local ownership and beneficiation is necessary to change Ghana's trajectory in the mining sector.
  • The government is urged to review existing mining laws, renegotiate unfavourable contracts, and design incentives for indigenous firms to scale up.

Statistics:

  • Ghana is Africa's leading gold producer, accounting for a significant portion of the continent's gold reserves.
  • The country sits on significant deposits of bauxite, manganese, and newly-discovered lithium, which can be leveraged for industrialisation.
  • Local companies have the potential to create jobs, strengthen industries, and drive national prosperity by refining minerals in Ghana instead of exporting them in their raw form.

Sources:

  • Ghana News Agency (Martin A. Owusu-Boahene, Deputy Director, Press FREmmanuel) - 11 Sep 2025
  • Institute of Economic Affairs (IEA)
  • Ghana Government