The Minerals Income and Investment Fund (MIIF) has embarked on a pioneering pilot program to formalize Ghana’s small-scale gold mining sector.
This initiative holds the potential to elevate small-scale entities into medium—to large-scale businesses, offering comprehensive support in corporate governance, capital provision, gold production traceability, and market access via the MIIF gold trade desk.
Edward Nana Yaw Koranteng, CEO of MIIF, underscored the program’s potential to significantly boost Ghana’s annual small-scale gold mining revenue, aiming to triple the current US$2.4 billion figure. He particularly highlighted the program’s crucial role in combatting illegal mining, which currently slashes sector revenue by 40%, thereby ensuring the security and stability of the sector.
In addition to enhancing mining operations, MIIF is implementing a strategy to cultivate a skilled workforce within Ghana’s mining industry. Recognizing the country’s annual loss of skilled goldsmiths and limited growth in the jewellery sector, MIIF is establishing a technical training centre at the University of Mines and Technology. This centre will include a jewellery-making facility to add value to Ghana’s gold resources.
While gold remains Ghana’s primary mining revenue source, MIIF is diversifying into untapped minerals such as lithium, barite, graphite, copper, cobalt, uranium, iron ore, and industrial salt. Initiatives include investments in the Ada Songhor Pans salt project and leveraging lithium resources to support Ghana’s automobile development plan, aiming to establish the country as a hub for electric vehicles in sub-Saharan Africa.
MIIF’s comprehensive approach spans the entire mining value chain, including capital market initiatives like a planned gold-backed ETF. The fund also supports listing mining companies on Ghana’s Stock Exchange, fostering sector growth and reducing reliance on Western capital. This comprehensive strategy is designed to provide reassurance and stability to the sector.
Looking forward, MIIF aims to replicate its model across Africa, co-investing in mining ventures to enhance sector development and establish sovereign wealth funds focused on mining in other African nations. With assets under management growing from US$195 million in 2021 to over US$1.5 billion, MIIF is positioned as a critical driver of Ghana’s mining sector growth and a catalyst for pan-African mining development.
The initiative underscores MIIF’s commitment to transforming Ghana’s mining sector, enhancing the region’s productivity, sustainability, and economic diversification.
