Mineral Exports Yield $4.516bn (read more)

Total mineral exports increased to $4.516 billion in 2014 from $3,192 billion in 2013, according to the Extractive Industries Transparency Initiative (EITI) report. The 2014 report on the mining sector, which was launched in Accra recently, put mining revenue accrued to government, including royalties, corporate taxes, dividends and rights fees at GHȻ1.25bn, representing 5.0 percent of the total government revenue in 2014. It said the minerals sector accounted for over 16 percent of fiscal receipts by the Ghana Revenue Authority (GRA) in 2014, while mining and quarrying accounted for about eight percent of total Gross Domestic Product (GDP) in 2014 from 9.4 percent in 2013. However, the report said Bauxite and Manganese exports recorded a decline of 12 percent and 11 percent respectively. Gold mining remained the highest contributor in the sector, with large-scale gold mining accounting for over 80 percent by value of the total income from the sector. Mona Quartey, Deputy Minister of Finance and Economic Planning, in a speech read on her behalf, said that the mining and oil and gas sectors have contributed significantly to the country’s economy. She said the recommendations from previous EITI reports led to a wide range of reforms in the mining and oil and gas sectors. They include review of the fiscal regime under which mining industry operates and development of guidelines for the use of mineral royalties at the sub-national level. Ms Quartey noted that effective implementation of the EITI would ensure that less money is lost to corruption, as people can access the information needed to hold governments and companies to account. “Transparency will help to demystify the oil industry. Oil and gas companies must be open about their contributions or payments. This is key to managing expectations and building trust with government, civil society and communities,” she said. Ms Quartey said government will support the Ghana EITI process to provide regular information on all material revenues received by government from the extractive sector (mining and oil/gas). She commended GHEITI for the excellent work, urging them to turn their attention to the gas sector.

Source: Daily Guide