Illicit Gold Smuggling Cost Ghana $1.2billion in 2022
By Nana Afrane Asante
Minister for Finance, Cassiel Ato Forson, has raised serious concerns over the billions of dollars in revenue lost due to illicit gold smuggling through illegal channels, calling for urgent reforms to regulate the sector and curb illegal trade.
In his post, Dr Forson emphasised the significant economic loss Ghana has endured, questioning the potential economic boost had that gold remained within the country’s economy.
“Imagine the impact if that wealth had stayed in our economy!” he said, underscoring the urgent need to curb illegal mining and smuggling activities that have long deprived the nation of crucial revenue”.
He further lamented that at the height of Ghana’s economic crisis in 2022, an estimated 60 tonnes of gold—worth $1.2 billion—were smuggled out of the country through illegal channels.
“Gold is one of Ghana’s most valuable natural resources, but for too long, illicit smuggling has deprived our economy of billions in revenue,” he stated.
Ato Forson emphasised the need for stronger oversight, announcing the establishment of the Ghana Gold Board (GoldBod)—a newly created regulatory body that will oversee the gold industry, prevent smuggling, and promote responsible gold trade.
“One of the key steps in this effort is the establishment of the Ghana Gold Board (GoldBod)—a game-changing institution that will regulate the gold sector, curb smuggling, and promote responsible gold trade,” he said.
He revealed that the government is collaborating with the UK-Ghana Gold Programme and the Economic and Organised Crime Office (EOCO) to monitor key smuggling routes, such as Bole, to disrupt illegal trade networks.
“Yesterday, I met with officials from the UK-Ghana Gold Programme, an initiative dedicated to breaking the link between illegal artisanal gold mining and serious organised crime (SOC). Our discussions focused on how to ensure Ghana benefits fully from its gold resources while combating smuggling and illegal trade,” he explained.
Forson also announced that GoldBod will receive government support to purchase three tonnes of gold every week, a move aimed at bolstering Ghana’s foreign exchange reserves.
Additionally, in a major policy shift, he disclosed that the government will abolish the 1.5% withholding tax on unprocessed gold as part of the 2025 Budget, a move designed to encourage legal gold trade and drive economic growth.
“To further support this vision, the government will fund GoldBod to purchase three tonnes of gold every week, strengthening our foreign exchange reserves. Additionally, in a major policy shift, we will abolish the 1.5% withholding tax on unprocessed gold as part of the 2025 Budget—a move that will encourage more legal gold trade and drive economic growth,” he declared.
The finance minister expressed confidence that these initiatives will restore Ghana’s control over its gold industry, cut off illegal networks, and ensure that gold wealth benefits the Ghanaian people.
“These efforts will put Ghana back in control of its gold industry, disrupt illegal networks, and ensure that our gold works for Ghanaians. This is just the beginning—together, we will build a stronger, more prosperous Ghana!” he concluded. With GoldBod’s introduction, strategic partnerships, and tax reforms, Ghana hopes to eliminate gold smuggling and maximise the economic benefits of its most valuable natural resource.
