Ghana’s growing dependence on gold to stabilize its economy has triggered a demand for a dedicated mineral revenue management law. The Africa Centre for Energy Policy (ACEP) and the Natural Resource Governance Institute (NRGI) made this call in a joint submission for the 2026 Mid-Year Budget Review. This development occurs as crude oil production falls and petroleum revenue flows lack transparency, exposing weaknesses in the country’s extractive sector.
Gold is increasingly supporting Ghana’s reserves, fiscal resilience, and foreign exchange accumulation. However, ACEP and NRGI warn that this commodity boom cannot substitute for strong institutions, transparent revenue management, and disciplined long-term planning. They argue that Ghana risks mistaking a commodity price windfall for genuine structural economic strength.
This situation fits into a broader narrative of Ghana’s economic transition, where gold is replacing petroleum as the main driver of export earnings and macroeconomic stability. The 2026 Budget projected crude oil production at 37.95 million barrels, a significant drop from the 46.35 million barrels projected for 2025. This decline reflects weakening output from mature oil fields, diminishing reserves, and slower upstream investment.
Kodzo Yaotse of ACEP stated, “Gold is increasingly performing the roles once expected of petroleum by supporting reserves, strengthening fiscal resilience and reducing vulnerability to external shocks.” He added, “The challenge now is to build institutions capable of managing that wealth sustainably.” This statement underscores the urgent need for a robust legal framework to manage Ghana’s mineral wealth effectively.
The organizations also raised significant transparency concerns regarding petroleum revenues. They cited US$434.55 million in Annual Budget Funding Amount (ABFA) resources, allocated to the government’s Big Push infrastructure programme, reportedly still unutilized in a suspense account. ACEP and NRGI called for a full account of these funds and disclosure of the implementation status of all ABFA-financed projects, in line with the Petroleum Revenue Management Act.
Furthermore, ACEP and NRGI questioned the retention of US$561.65 million in petroleum revenues by Jubilee Oil Holdings Limited and Explorco. These funds were held outside the accountability mechanisms established under the Petroleum Revenue Management Act (PRMA). The organizations urged the government to bring all petroleum revenues back within the statutory reporting framework to ensure proper oversight.
The issue extends beyond technicalities; if significant petroleum receipts are held or spent outside the PRMA framework, it weakens the credibility of Ghana’s resource governance model. This could undermine investor confidence and public trust in the management of national resources. The lack of a published investment policy for the Heritage Fund, especially amid proposals to deploy petroleum savings into domestic energy, further exacerbates these concerns.
ACEP and NRGI argued that any shift from the Heritage Fund’s long-term savings mandate must be guided by a transparent policy framework. This framework should detail the economic rationale, project selection criteria, expected returns, and risk controls. Such measures are crucial for ensuring sustainable and accountable use of national wealth.
The organizations also pressed the government to publish the long-awaited National Petroleum Revitalisation Strategy. This strategy is expected to outline measures to arrest declining production, attract upstream investment, and restore competitiveness in Ghana’s petroleum sector. Its absence leaves a critical gap in addressing the challenges facing the oil industry.
The implications are clear: without a dedicated mineral revenue law and improved transparency, Ghana risks mismanaging its newfound gold wealth. Decision-makers must prioritize establishing robust legal and institutional safeguards to ensure that commodity windfalls translate into sustainable economic development. Markets and international partners will be watching closely for concrete steps towards enhanced resource governance.
