Ghana has announced a sweeping ban on all foreign nationals from participating in its local gold trading market, a move aimed at boosting government revenue, tightening control over the sector, and curbing rampant illegal mining.
The directive, issued by the newly established Ghana Gold Board (GoldBod), requires all foreign traders to exit the local gold value chain by 30th April 2025. The measure is backed by new legislation signed into law earlier this month by President John Mahama.
“Foreigners are hereby notified to exit the local gold trading market,” said GoldBod spokesperson Prince Kwame Minkah. “From May 2025, any dealings in gold without a license issued by the board will be deemed a punishable offence.”
Ghana, Africa’s largest gold producer and the sixth-largest globally, has long grappled with environmental degradation and lost revenue due to illegal small-scale mining—known locally as galamsey. The gold sector has been both a vital economic engine and a flashpoint for controversy in the mineral-rich West African country.
Under the new law, GoldBod becomes the sole buyer, seller, and exporter of all gold produced by artisanal and small-scale miners (ASM). While foreigners can still apply to buy gold directly from GoldBod, they are no longer allowed to operate within the broader local value chain, which includes trading, processing, and transport.
The licenses of local gold dealers have also been revoked to pave the way for a transition. During this interim period, all gold transactions will be conducted exclusively in Ghana cedis, using rates set by the Bank of Ghana.
Finance Minister Cassel Ato Forson said the government has allocated $279 million to GoldBod to enable it to purchase and export at least three tonnes of gold per week. The goal, he explained, is to strengthen foreign exchange reserves and stabilize the national currency amid a period of economic volatility.
The Chamber of Bullion Traders Ghana welcomed the initiative but raised concerns about its implementation. Chairman Kwaku Effah Asuahene told the BBC that while local players support reform, excluding foreign investors from the value chain could limit capital and capacity.
Chinese nationals have been notably active in Ghana’s informal gold sector for years and have often been accused of violating environmental and labor regulations. Observers believe the new restrictions send a clear warning to foreign entities that have circumvented local laws.
The move also aligns with President Mahama’s campaign promise to crack down on illegal mining, which has left more than 60% of Ghana’s water bodies contaminated and caused severe deforestation. Analysts see the new directive as a bold first step toward cleaning up the sector.
Ghana’s gold exports soared by 53.2% last year to $11.64 billion, with nearly $5 billion generated by legal small-scale miners alone. With global gold prices recently hitting $3,200 per ounce, the government is eager to retain a larger share of the wealth flowing from its natural resources.
