Fresh questions have emerged over the destination of gold produced by illegal mining operations in Ghana, as the Member of Parliament for Ofoase-Ayirebi, Kojo Oppong Nkrumah, challenges the John Dramani Mahama–led National Democratic Congress (NDC) government to clarify who is purchasing gold from galamsey operators if the state’s official gold authority, the Ghana Gold Board (GoldBod), is not involved.
The controversy is rooted in the recently enacted Gold Trading Act, which grants GoldBod exclusive legal authority to export gold from Ghana. The law was introduced as part of a broader reform agenda to centralise gold trading, curb smuggling, formalise small-scale mining, and ensure transparency in the country’s gold supply chain.
Under the new framework, all gold exports are meant to pass through regulated channels overseen by GoldBod.
GoldBod, currently headed by Sammy Gyamfi, has publicly rejected allegations that it purchases gold from illegal miners. In an official set of frequently asked questions, the Board stated that it does not buy gold directly from miners, insisting that all gold handled by the institution is sourced through licensed aggregators and approved intermediaries. It anchored its position in the provisions of Act 1140, particularly Section 3(1)(f), which mandates GoldBod to promote the formalisation of small-scale mining through responsible sourcing, sustainable supply chains, gold traceability, and compliance with international standards.
The Act also requires, under Section 3(1)(g), the promotion of environmentally responsible mining practices.
Despite these assurances, Kojo Oppong Nkrumah argues that the official explanations leave a critical gap. Speaking on Adom TV’s Badwam programme with host Akwasi Nsiah, the former Information Minister said the government’s narrative does not account for the continued flow of gold from illegal mining sites.
He questioned how gold from galamsey operations is being absorbed into the market if GoldBod is not a buyer and the state claims to have tightened controls over exports and smuggling routes.
The MP linked the issue to broader economic developments, alleging that proceeds from illegally traded gold may be indirectly supporting the economy.
He pointed to the recent appreciation of the Ghanaian cedi against major foreign currencies as a development that, in his view, raises questions about the sources of foreign exchange inflows.
According to him, this trend is difficult to reconcile with official production data, which shows only marginal growth in output from large-scale mining companies, while artisanal and small-scale gold production has recorded a sharp increase.
This discrepancy, he argued, is particularly troubling given government claims of intensifying the fight against illegal mining.
While authorities continue to announce security operations, anti-smuggling measures, and regulatory reforms, galamsey activities remain visible in many parts of the country, with environmental degradation of rivers, farmlands, and forest reserves still widespread.
Oppong Nkrumah’s intervention revives long-standing national debates over the management of the gold sector, which has historically struggled with illegal mining, weak traceability systems, and smuggling networks.
Previous administrations have introduced multiple reforms aimed at formalising small-scale mining and strengthening state oversight, but the persistence of galamsey has continued to undermine environmental protection, revenue mobilisation, and regulatory control.
