GoldBod, the Ghanaian authority on gold regulation, has announced the invalidation of all licenses issued to small-scale gold operators by the Precious Minerals Marketing Company (PMMC) or the Minister responsible for Mines. This directive follows the enactment of the Ghana Gold Board Act (Act 1140), 2025, which was passed by Parliament on March 29, 2025, and signed into law by the President on April 2, 2025.
In a statement released on Monday, April 14, and signed by Prince Kwame Minkah, Media Relations Officer, GoldBod clarified the sweeping implications of the new legislation. Under the Act, all artisanal and small-scale mining (ASM) licenses granted prior to its enactment are no longer valid. The Ghana Gold Board, commonly referred to as GoldBod, is now the sole authorized entity to buy, sell, assay, and export gold produced by the ASM sector.
New Guidelines for Gold Trading in Ghana
GoldBod has outlined a series of reforms to regulate the gold trade effectively. Key directives include:
1. Gold Trading Restrictions:
No individual or entity, apart from GoldBod or its licensed buyers, aggregators, and service providers, is permitted to deal in or export ASM gold from Ghana.
2. Mandatory Use of Ghana Cedis:
All gold transactions in the local market must be conducted in Ghana cedis. Prices will be pegged to the Bank of Ghana Reference Rate, accessible via the central bank’s official website.
3. License Transition Period:
To facilitate a smooth transition and honor existing contracts, previously licensed gold buyers and exporters may continue operations until April 30, 2025. Beyond this date, all activities must comply with the new regulatory framework.
4. Application for New Licenses:
Ghanaians or fully Ghanaian-owned companies whose licenses have been invalidated are encouraged to apply for new licenses under the GoldBod framework, starting April 22, 2025. Applications can be submitted online via the GoldBod website (to be activated on the effective date) or in person at its Licensing and Regulations office in Accra.
Foreign Participation in the Gold Market
Foreigners have been directed to exit the local gold trading market by April 30, 2025. However, they may apply to GoldBod for authorization to purchase or off-take gold directly from the Board.
Failure to adhere to these regulations will attract severe penalties. As of May 1, 2025, engaging in gold trading without a valid GoldBod-issued license will constitute a punishable offense.
Reforming Ghana’s Gold Sector
This reform marks a pivotal shift in Ghana’s approach to gold regulation, centralizing control under GoldBod to ensure transparency, accountability, and equitable management of the country’s gold resources. GoldBod’s directive aims to eliminate illegal mining practices, streamline revenue collection, and protect the integrity of Ghana’s gold industry on the global stage.
The statement concludes with a firm reminder of the government’s commitment to enforcing the provisions of the Ghana Gold Board Act and ensuring sustainable and responsible mining practices in the country.
Story by: Mercy Addai Turkson #ahotoronline.com
