The recent announcement by the government to establish a Gold Board has raised more questions than answers, according to Samuel Abu Jinapor, former Minister for Lands and Natural Resources and Member of Parliament for Damango.
In an article, Samuel Abu Jinapor expressed concerns about the mandate of the proposed Gold Board and its potential impact on existing institutions and private sector actors in the gold trade.
“The country has followed various statements by Government Officials about the establishment of a Gold Board. The President of the Republic says this new ‘creature’ will “ensure effective governance of the gold industry,” Jinapor stated, quoting the President’s remarks on the Gold Board.
He noted that the Finance Minister had also constituted a technical committee to fashion out a framework for the establishment of this body.
Samuel Jinapor highlighted Ghana’s leading position in gold production in Africa, thanks to the efforts of the previous administration.
“Gold is Ghana’s leading precious mineral, and through dint of hard work by the Akufo-Addo administration, Ghana is today, by far, Africa’s leading producer of gold,” he said.
However, Samuel Jinapor expressed concerns about the potential duplication of roles with existing institutions, such as the Minerals Commission.
“The regulatory framework for our mineral resources in general, and gold in particular, is set out in several legislation, including, but not limited to, the Minerals and Mining Act, 2006 (Act 703) and the various Regulations made under it,” he explained.
He also questioned the potential impact on private sector actors in the gold trade.
“What then becomes of the numerous private sector actors who have invested heavily in the gold trade?” Jinapor asked.
Furthermore, Jinapor noted that the suspension of the Gold4Oil Programme by the Governor of the Bank of Ghana had raised speculations about its potential replacement with the Gold Board.
“The suggestion is that this new body will be responsible for the purchase and export of gold from our country,” he stated.
Samuel Jinapor emphasized the need for clarity and transparency in the government’s plans for the Gold Board.
“I am afraid that there are so many questions than answers with regard to this Gold Board concept…the earlier the Government comes out to clarify what this ‘creature’ represents and seeks to do, the better for our mineral resource regulatory regime,” he said.
In conclusion, Samuel Jinapor cautioned against any actions that could damage Ghana’s reputation in the mining sector.
“Ghana has come far with her mining regulatory regime and is highly respected across the globe…nothing should be done in secrecy or surreptitiously to destroy her hard-won reputation in this consequential sector of our economy,” he warned.
