The Minister for Lands and Natural Resources, Emmanuel Armah Kofi-Buah, has argued that the Minerals and Mining Royalty Regulations 2025, which he laid before Parliament, will ensure Ghana attains maximum benefit from the extraction of its natural resources.
Addressing the media after laying the Legislative Instrument before Parliament on Friday, the Minister explained that the L.I., which establishes a sliding-scale framework that allows royalty rates to be adjusted in line with fluctuations in global commodity prices, will introduce variable royalty bands for gold, lithium, and other minerals.
“Today, I am proud to say that I have brought a reliable regulation that gives us a sliding-scale agreement. The advantage is that it allows the state to capture the benefits in good times. Like in the gold sector, and I have to tell you that we have done it across the minerals sector,” the Minister said.
He explained that, based on current market prices, lithium attracts a royalty rate of 7 percent, which could rise to as much as 12 percent should prices increase.
The regulations, according to the minister, also introduce a one percent Community Development Fund dedicated to financing infrastructural projects in mining communities.
Addressing journalists, the Minister noted that the L.I., which applies to all mining agreements, offers greater certainty and predictability for both the government and investors.