The proposed GoldBod initiative has sparked debate in Parliament, with former Finance Minister Dr. Mohamed Amin Adam warning that its structure could lead to conflicts of interest.
Speaking during deliberations on the GoldBod Bill, he criticized the government’s plan to grant GoldBod both commercial and regulatory powers, arguing that such an arrangement is flawed.
“If this bill is passed, GoldBod will be a commercial entity that trades and exports gold while also acting as a regulator and court. That is not right,” he stated, raising concerns over the potential for abuse and lack of oversight.
Drawing comparisons to the oil industry, Dr. Amin Adam referenced steps taken under a previous administration to ensure regulatory independence.
“In the oil industry, the previous administration separated the Petroleum Commission from GNPC, ensuring that GNPC focused purely on commercial operations while the Petroleum Commission handled regulation,” he explained, advocating for a similar separation in the gold sector.
The GoldBod initiative, introduced by the government, aims to formalize gold trading, particularly within the small-scale mining sector, while promoting traceability to enhance Ghana’s global gold reputation.
Under the proposal, GoldBod would become the exclusive buyer of gold from licensed small-scale miners through accredited aggregators, as well as the sole assayer of gold.
Government officials argue that this centralized approach will curb gold smuggling, improve foreign exchange reserves, and help stabilize the cedi.
However, concerns remain over whether combining regulatory and commercial functions under one institution could undermine transparency and accountability.
