A SWISSAID report reveals Chinese nationals have become central figures in Ghana’s illegal small-scale gold mining industry, exploiting legal loopholes through local partnerships.
Despite Ghanaian laws restricting mining licenses to citizens, Chinese investors have effectively controlled operations by financing and mechanizing artisanal mining since the late 2000s.
The report estimates 50,000 Chinese miners were operating in Ghana by 2013, using heavy machinery that caused severe environmental damage to forest reserves and waterways. “Chinese involvement persists due to complicity from local intermediaries and some state officials,” the report states, noting how these arrangements allow foreign operators to avoid legal accountability. Ghana’s 2025 Gold Board Act, which bans foreign gold trading, has yet to significantly curb the practice.
Environmental and economic consequences are substantial. Between 2019 and 2023, Ghana lost $11.4 billion in undeclared gold exports, while mining pollution threatens water sources and agricultural land. The Chinese ambassador to Ghana acknowledged the problem in 2024, warning citizens against illegal mining activities.
Analysts say resolving the crisis requires addressing both foreign involvement and domestic governance failures. The Ghana Gold Board faces the dual challenge of regulating exports and confronting powerful local networks that benefit from the status quo.
