Government Must Deepen ongoing Investments in the Small Scale Mining Sector

The latest report of the Ghana Chamber of Mines, presented at its annual general meeting in Accra, points to a strong outlook for the country’s small scale mining sector. Notably, small scale gold production rose sharply from 1.90 million ounces in 2024 to 3.11 million ounces in 2025; an increase of about 63.8% within a year. This surge has been partly attributed to interventions such as the establishment of the Ghana GoldBod. On the other hand, large scale production declined slightly from 2.92 million ounces to 2.83 million ounces over the same period.

Despite this remarkable growth in artisanal and small-scale output, there is still significant room for improvement. In 2025, the small-scale sector accounted for a little over half of Ghana’s total gold production, contributing meaningfully to foreign exchange earnings, GDP growth, and relative stability of the cedi.

Against this backdrop, there is a strong case for deeper investment to sustain and expand these gains. Government’s ongoing push for responsible cooperative mining and skills development is commendable, but more decisive action is needed to get the newly launched cooperative mining schemes into heavy production of gold. Government must ensure concessions ceded to it by large scale firms are quickly made operational so they can begin contributing to heavy gold output.

It is also important to recognize that artisanal and small-scale mining recovery rates typically range between 20% and 70%, depending on the methods and level of technology used. Establishing modern gold processing facilities by the Ministry of Lands and Natural Resources in mining communities could significantly improve efficiency, potentially pushing recovery rates much higher in suitable operations. This would not only increase total gold output but also make lower-grade deposits economically viable.

In addition, there is a need to decentralize and streamline the licensing process. Empowering district offices of the Minerals Commission with greater authority could reduce delays and ease the administrative burden on applicants. At the same time, the Geological Survey Authority should be adequately resourced to identify and map viable blocks that can be safely allocated to small-scale miners.

Access to capital also remains a major constraint. Mining is highly capital intensive, and many small-scale operators struggle with funding for equipment, site development, labour, and compliance costs. A coordinated effort between the Ghana GoldBod and the Ministry of Lands and Natural Resources to provide structured financing support would go a long way in strengthening the sector and encouraging more responsible mining practices.

In conclusion, the fact that small-scale mining now contributes more gold than large-scale operations in 2025 highlights its growing importance to the economy. With targeted investment and stronger institutional support, the sector has the potential to deliver even greater benefits in terms of foreign exchange earnings, currency stability, and overall GDP growth.

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