Ghana reforms aim to capture 127 tons of artisanal gold
Ghana plans to formalize artisanal mining to capture 127 tons of gold annually. These reforms aim to secure 20 billion dollars in revenue and curb smuggling.
Ghana[Country:{ "assets":{ "country":"GH" } }] is set to implement sweeping reforms aimed at channeling approximately 127 metric tons of gold from artisanal and small-scale mining (ASM) into official trade channels annually. This strategic shift, announced by the country’s finance minister on Wednesday, is designed to bolster foreign-exchange reserves and mitigate the significant revenue losses caused by smuggling.
African nations continue to struggle with substantial gold leakage from the ASM sector, with billions of dollars in undeclared gold flowing through porous borders toward global hubs like Dubai. According to data from the non-profit foundation Swissaid, Ghana, which remains the continent’s leading gold producer, lost an estimated $11.4 billion between 2019 and 2023 due to these illicit activities.
Speaking before Parliament, Finance Minister Cassiel Ato Forson detailed that the Ghana Gold Board (GoldBod) will now be required to purchase a minimum of 2.45 tons of ASM gold every week. This consolidation into a formal pipeline is expected to generate more than $20 billion in annual inflows. The initiative follows a significant increase in ASM output, which reached approximately 186 tons in 2025, spurred by high global gold prices and the establishment of GoldBod.
Starting next month, GoldBod will assume full responsibility for negotiating off-take agreements and managing the sale of all procured ASM gold. To support these operations, the regulator will secure financing to maintain three to four weeks of gold inventory and utilize derivative and hedging tools to mitigate price volatility. While the Bank of Ghana currently funds these purchases, the new framework will centralize the process.
"To disincentivise smuggling, GoldBod may employ price incentives through spot world market price purchases and bonuses for licensed miners," Forson stated.
Under the new policy, the Bank of Ghana and GoldBod will enter an agreement requiring all foreign exchange generated by the program to be sold exclusively to the central bank at an agreed rate. Beyond financial logistics, the formalization efforts will encompass environmental enforcement, the implementation of traceability systems, the expansion of domestic refining capacity, and measures to reduce operating costs for miners.
While the government pushes forward with these changes, the broader mining sector is also facing reforms to its financial regime. Large-scale producers have expressed concerns that these adjustments could potentially stifle investment and lead to a slowdown in overall production.
