Ghana overtook South Africa as Africa
Ghana continues to benefit less from its rich oil and mineral resources although the country features tops among mineral rich nations in the world and continues to lead the pack.
In 2019, Ghana overtook South Africa as Africa’s leading gold producer generating 4.8 million ounces of gold in 2018- but that’s not the nation’s only strength in the extractives sector as it’s also a major producer of manganese, diamond and bauxite.
But as studies have shown over the years, poverty is most endemic in countries rich in oil and mineral resources including Ghana and this according to the Co-Chair of GHEITI, Dr. Steve Manteaw is largely due to Elite Capture.
“With Elite Capture, those who have to make decisions (in the extractive sector) on behalf of citizens go to make decisions that benefit them personally so the benefit of extraction that will go to the country at large goes to them alone.”
He said Elite Capture is the reason behind Ghana’s expansive years of mining and still getting into HIPC in times past.
Speaking at a two-day workshop for members of Institute of Financial and Economic Journalists Association (IFEJ) and Ghana Journalists Association (GJA) organized by the Ghana Extractive Industries Transparency Initiative (GHEITI), he advocated for citizens to get involved in the country’s extractive sector in order to deal with the challenge of Elite Capture. One other way to ensure resourceful capture and use of the country’s resources is through Beneficial Ownership (BO) and disclosure which will ensure real owners behind companies bidding for natural resources contract are identified.
Beneficial Ownership will enable organizations like GHEITI go beyond identifying owners of companies but also monitor revenues and how it is deployed, which will empower citizens to demand accountability and eventually break the cycle of elite capture.
The Registrar- General, Jemimah Oware in 2018 announced an electric BO ownership register in the offing. However, advocates are calling for swift implementation to save the nation millions of monies lost through taxes and other shady means.
Dr. Manteaw encouraged the media to keep citizens informed so they are empowered to take part in decision-making around the governance of natural resources.
