MP for Juaben Constituency, Francis Owusu-Akyaw
Communities hosting mining companies in Ghana will face further underdevelopment due to the proposed amendment of the Minerals Income Investment Fund (MIIF) Act, 2018 (Act 978), as amended, according to the Member of Parliament for Juaben, Francis Owusu-Akyaw.
The proposed amendment seeks to transfer 80% of mineral royalties, originally retained by MIIF, to the Consolidated Fund to finance the government’s development initiatives.
In 2018, under the Nana Addo Dankwa Akufo-Addo administration, Parliament passed Act 978, later amended by the Minerals Income Investment Fund (Amendment) Act, 2020 (Act 1024), to maximize the state’s mineral income for the benefit of citizens.
The law aimed to ensure responsible, transparent, and sustainable monetization of mineral revenues while also implementing measures to reduce Ghana’s budgetary exposure to mineral income fluctuations.
However, the new John Mahama-led government, through the 2025 Budget and Policy Statement, has initiated processes to further amend the legislation, requiring that 80% of MIIF-held royalties be transferred to the Consolidated Fund to support the BIG PUSH infrastructure agenda.
During the debate on the 2025 budget statement in Parliament on Monday, March 24, MP for Juaben, Francis Owusu-Akyaw, strongly opposed the move, warning that it would deprive mining communities of much-needed development.
He argued that it remains unclear what kind of infrastructure projects will be undertaken with the diverted MIIF funds and expressed concern that the state would invest little in mining activities, contrary to the original objectives of the MIIF law.
The Juaben legislator further cautioned that the move would lead to the neglect of host communities where mining takes place, questioning whether they would directly benefit from such projects.
“Is the infrastructure meant to develop the mining sector, from which these revenues are generated, in line with the objectives of MIIF? Or is it just any infrastructure? How much will be reinvested into boosting mining operations if the funds are directed toward projects unrelated to mining? Again, there will be total neglect of the communities where mining activities occur, as a huge percentage of the funds will go toward unspecified infrastructure development. This is too risky a path for any government to take,” Owusu-Akyaw stated.
In a related matter, the Juaben MP criticized the government’s re-categorization of mining into small, medium, and large-scale operations.
He argued that many licensed small-scale miners lack adequate land to engage in productive mining, while those with available land often operate through “trial and error,” causing environmental destruction.
“Mr. Speaker, the solution to the menace of galamsey does not lie in re-categorization. Most small-scale mining licenses granted under Section 82 of the Minerals and Mining Act 2006 do not even have access to productive mining areas. Additionally, those with land often engage in unregulated alluvial gold mining, leading to environmental degradation. Furthermore, some large-scale miners are already engaged in medium-scale operations, which does not violate any law. So why spend resources on re-categorization?” Owusu-Akyaw questioned.
GA/MA
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