Ghana’s standing as a preferred destination for mining investment has come under renewed scrutiny, following a significant drop in the latest Global Mining Investment Attractiveness Index, prompting concern from the country’s immediate past Minister for Lands and Natural Resources, Samuel Abu Jinapor.
According to the report, Ghana fell seven places in the global ranking, dropping from 46th position in 2024 to 53rd in 2025.
The decline is further compounded by the fact that only 68 countries were assessed in 2025, compared to 82 in 2024, when Ghana held its previous ranking.
Reacting to the development in a write-up that has been sighted by The Chronicle, Mr Jinapor described the situation as a serious setback to Ghana’s competitiveness and its ability to attract long-term investment in the mining sector.
He noted that Ghana is now ranked behind several African countries; including Côte d’Ivoire, the Democratic Republic of Congo, Namibia, Zambia, Tanzania, Morocco and Botswana, indicating a relative decline in investor confidence.
He stressed that the development is particularly troubling given the critical role the mining sector plays in Ghana’s economy.
For decades, the sector has been a key pillar of national development, contributing significantly to export earnings, foreign exchange inflows, fiscal revenues, employment and overall economic growth.
The Global Mining Investment Attractiveness Index ranks countries based on how public policy environments either encourage or discourage mining investment.
Mr. Jinapor argued that Ghana’s decline reflects growing negative perceptions about the country’s policy environment for mining exploration and investment, warning that it risks eroding gains made during the administration of former President Nana Addo Dankwa Akufo-Addo.
Outlining those gains, he pointed to what he described as transformational policies implemented under the Akufo-Addo administration, which positioned Ghana as a leading mining hub on the continent.
He highlighted that Ghana overtook South Africa to become Africa’s top gold producer, recording a historic output of 4.9 million ounces in 2024 and generating over US$10 billion in export revenue.
Mr. Jinapor also cited the implementation of the Domestic Gold Purchase Programme, which increased Ghana’s gold reserves from 8.77 tonnes to 30.53 tonnes by 2024.
He further referenced major mining developments, including the first Greenfield mine in more than a decade by Cardinal Namdini, which poured its first gold in October 2024.
Other achievements included the construction of new mines in the Ahafo and Upper West Regions by Newmont Ahafo North and Azumah Resources, expansion of existing operations and the revival of dormant mines in Obuasi and Bibiani.
He also highlighted investments in lithium exploration, the construction of a 400kg gold refinery and an agreement for a US$450 million manganese refinery.
On institutional development, Mr. Jinapor noted the establishment of regional offices of the Minerals Commission in Kumasi, Bole, Tamale, Wa, Bolgatanga and Tarkwa, as well as district offices in Kyebi, Bibiani, Damang and Akyem Oda.
He added that a comprehensive local content policy increased reserved procurement items from 19 in 2016 to 51 by January 2025, alongside capacity-building initiatives that saw over 50 mining engineers trained in countries such as the United States, the United Kingdom, Canada and Australia.
According to him, these investor-friendly policies contributed to Ghana’s improved investment attractiveness score, which rose from 44.35 points in 2023 to 56.98 points in 2024.
However, Mr. Jinapor expressed concern that recent policy signals under the current administration of President John Dramani Mahama are creating uncertainty within the sector.
He described the current policy environment as increasingly interventionist and opaque, arguing that it is contributing to declining investor confidence.
The report further indicates that Ghana dropped to 50th position out of 68 jurisdictions on the policy perception index, down from 46th out of 82 in 2024.
Key concerns cited include uncertainty in the administration and enforcement of regulations, regulatory duplication and inconsistencies, a weak legal framework, taxation challenges, trade barriers and issues surrounding socio-economic agreements.
Mr. Jinapor noted that these findings mirror concerns raised earlier by the Ghana Chamber of Mines, which warned that current fiscal policies could constrain investment expansion and undermine sustainable long-term revenue generation.
He also pointed to the introduction of a sliding royalty regime as an example of policy changes that require careful calibration.
While acknowledging the need to increase Ghana’s share of mining revenues, he stressed that such measures must be balanced with the need for clarity and predictability in a capital-intensive industry where projects involve substantial investments and long lead times.
The former minister further emphasised the importance of promoting indigenous ownership to ensure that the benefits of resource development are widely shared.
However, he cautioned that without a stable and transparent policy framework, even well-intentioned reforms could deter investment, slow project development and limit the sector’s contribution to employment and economic growth.
Mr. Jinapor also raised concerns about controversies surrounding the takeover of major mining establishments, noting that such developments have heightened perceptions of regulatory inconsistency and opaque state involvement within the international investment community.
Additionally, he warned that policy signals suggesting a possible shift toward resource nationalisation have generated unease among investors, further affecting Ghana’s attractiveness.
On the issue of mineral potential, he pointed to Ghana’s low score in the report as evidence of insufficient geological investigations, stressing that exploration remains the lifeblood of the mining industry.
“Mining capital is highly mobile,” he noted, adding that investors assess jurisdictions based on geological potential, fiscal stability, regulatory certainty and the credibility of state institutions.
Mr. Jinapor also underscored the importance of the Domestic Gold Purchase Programme, a policy conceived by former Vice President Mahamudu Bawumia, which aimed to strengthen Ghana’s currency through gold reserve accumulation.
He warned that the recent decline in mining investment attractiveness could undermine this vision.
He concluded that Ghana’s drop in the index signals an urgent need for policy recalibration. While acknowledging the progress made in recent years, he cautioned that the current trajectory marked by regulatory uncertainty, fiscal inconsistencies, opaque interventions, and limited exploration risks reversing those gains.
To restore investor confidence and attract long-term investment, Mr. Jinapor recommended simplifying the tax regime, prioritising exploration through strengthened support for the Ghana Geological Survey Authority, addressing illegal mining, and developing a comprehensive strategy to integrate mining with downstream industries.
He emphasised that enhancing value addition, promoting technology transfer, and moving away from the traditional “dig and ship” model would be critical to achieving sustainable and broad-based economic development.
