Ghana National Association of Small-Scale Miners (GNASSM) has submitted a landmark reform proposal to the Ghana Gold Board (GoldBod), aimed at dismantling the practice of gold hoarding and stabilizing the domestic market.
Central to this initiative is the introduction of a strategic two percent discount for licensed buyers and a revamped licensing regime designed to eliminate artificial scarcity.
These recommendations follow an extensive nationwide engagement with sector stakeholders, seeking to align on-the-ground mining activities with institutional transparency and rigorous regulatory standards.
“The proposed measures align with GoldBod’s broader mandate to streamline gold buying, improve compliance, and reduce distortions in the market. We will study the findings carefully and collaborate with the association to implement key recommendations that increase returns to the state. Sustained engagement with miners remains critical to the success of Ghana’s gold sector reforms, particularly efforts aimed at formalization and traceability.”
Ghana Gold Board
This comprehensive move by GNASSM serves to bridge the existing information gap between small-scale operators and the central regulatory framework, fostering a market environment where value is retained within the local economy.
The proposed reforms address the growing commitment to responsible mining, as stakeholders including traditional authorities and security agencies seek to formalize activities and discourage illegal strategies that distort gold pricing.
By incentivizing licensed operations through pricing benefits, the association aims to redirect the flow of gold from illicit “shadow markets” into official GoldBod channels.
Curbing Market Distortions and Price Manipulation
Gold hoarding has long been a thorn in the side of Ghana’s extractive industry, used primarily as a “strategy to create artificial means of scarcity” to drive up prices.
The GNASSM report, titled “Report of Nationwide Engagement on GoldBod Pricing Mechanism and Mining Sector Reforms,” identifies this practice as a primary driver of price volatility.
By introducing a tiered licensing system and financial incentives for compliant buyers, the reform seeks to make hoarding economically unviable.
This ensures that the state can accurately track production volumes and maintain a steady supply of bullion for the national reserve and export.
Strengthening Value Retention and Regulatory Compliance
Beyond price stabilization, these reforms are projected to significantly enhance Ghana’s position in the global gold market.
Research suggests that formalizing the small-scale mining value chain could recover millions in lost revenue; for instance, recent data indicates that artisanal mining now contributes approximately 39% of national gold output.
The GNASSM’s proactive stance on “bridging the information gap” helps miners understand the benefits of the formal market, such as access to government conditional support and legal protection.
This collaborative approach is essential for the long-term sustainability of the industry and ensures that the benefits of the “gold boom” are equitably shared across the value chain.
Impact on National Macroeconomic Stability
The implementation of these reforms is more than a regulatory hurdle; it is an economic necessity for Ghana’s “economic reset.”
With Gold Board acting as the central aggregator, the reduction in hoarding directly correlates to increased foreign exchange (FX) inflows.
Experts noted that in 2025 alone, formalizing gold flows generated billions in non-debt FX, which played a pivotal role in stabilizing the Cedi.
As Mr. Sammy Gyamfi, CEO of GoldBod, noted, the commitment to “traceability and value retention” will ultimately anchor Ghana’s position as a leader in responsible mining, providing a template for other resource-rich African nations to follow.
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