Ghana Chamber of Mines backs review, not abolition, of stability agreements

 The Ghana Chamber of Mines has expressed support for a review of Stability and Development Agreements in the mining sector but cautioned against their outright abolition, warning that such a move could undermine long-term investment and the sustainability of Ghana’s mining industry.

In a statement issued on Monday(19 January), the Chamber reaffirmed its commitment to working collaboratively with government to ensure that Ghanaians derive maximum and sustainable benefits from the country’s mineral resources, particularly at a time of high global gold prices.

The Chamber noted that Stability and Development Agreements remain critical in an industry characterised by high upfront capital costs, long project lifecycles and significant investment risks. While acknowledging the government’s right to reassess these instruments, the Chamber stressed that reviewing and strengthening them would be more prudent than discarding them entirely.

Chief Executive Officer of the Ghana Chamber of Mines, Ing. Kenneth Ashigbey, said the Chamber is not opposed to government efforts to secure greater national benefit from mining but is advocating for a balanced fiscal framework that supports both revenue generation and industry growth.

According to Ing. Ashigbey, Stability and Development Agreements provide predictability and confidence for investors, enabling mining companies to expand operations, reinvest in production and fully take advantage of favourable gold prices. He warned that removing such agreements could weaken Ghana’s competitiveness as a mining destination and discourage future investments.

The Chamber also welcomed ongoing engagement between the Ministry of Lands and Natural Resources and industry stakeholders, describing such dialogue as essential to achieving mutually beneficial outcomes.

It emphasized that meaningful consultation is key to developing a fiscal regime that enhances national benefit without undermining the growth and resilience of the mining sector. Drawing parallels with the government’s earlier review of tax exemptions, the Chamber maintained that Stability and Development Agreements should similarly be reassessed and strengthened where necessary.

The Ghana Chamber of Mines reiterated its readiness to work with government to build a competitive, transparent and sustainable mining fiscal framework that supports national development while safeguarding the long-term viability of the industry.