Mining companies sent back over US$4.2 billion to Ghana, amounting to slightly more than 1.4% of the repatriation value in 2022.
This information is from the 2023 mining report by the Ghana Chamber of Mines.
A total of $2.7 billion was routed through local banks, marginally less than the $2.73 billion transacted in 2022.
In 2022, approximately $1.41 billion was transferred through the central bank, with 2023 seeing a slight rise to $1.5 billion.
“On the whole, the Chamber’s producing member companies repatriated US$4.2 billion into the country through commercial banks and the Bank of Ghana in 2023.”
Compared to their mineral revenue of US$5.9 billion in 2023, the repatriated funds from the Chamber’s producing member companies represent 71.3% of their foreign exchange earnings.
This the chamber describes as “a marginal reduction from the previous year’s outturn of 73%.”
In 2023, the producing member companies sold $716.97 million to the Bank of Ghana through the forex purchase initiative. This arrangement grants the bank the first right to buy any forex above the MSR that mining companies release to the forex market.
Additionally, the amount of gold sold to the central bank under the Domestic Gold Purchase Programme (DGPP) increased from 93,799 ounces in 2022 to 447,492 ounces in 2023, marking a growth rate of 377.1 percent.
Furthermore, data from the Bank of Ghana indicates that revenues from mineral exports rose from US$6.8 billion in 2022 to US$7.8 billion in 2023.
“The 15 per cent growth in mineral revenue was ascribed to the increase in proceeds from the export of all minerals, except manganese”
Mineral production outlook for 2024
Ghana’s mineral sector is anticipated to see comprehensive growth in the production and exports of its four traditional minerals. Gold production is forecasted to range between 4.3 million ounces and 4.5 million ounces in 2024.
The report further notes that new production by some members of the chamber is expected to enhance overall output.
“Fresh production from Newmont’s Ahafo North project and Cardinal Resource’s Namdini Gold Mine will supplement the planned production of the existing producing member companies’ mines, which will increase the attributable production of the Chamber to a range of 3.1 million ounces to 3.3 million ounces in 2024.”