Harnessing ECOWAS Mineral Wealth: Building a Trillion-Dollar Industry for West Africa

The paper examines the geopolitical and economic landscape of mining in West Africa, highlighting a shift toward resource nationalism in countries like Burkina Faso and Ghana. It discusses the influence of foreign powers such as France, Russia, and China, and identifies critical barriers to growth, including mineral smuggling, illegal artisanal mining, and a lack of processing infrastructure. While ECOWAS has attempted to harmonize mining regulations through directives and policies, the document notes that poor coordination and political instability have hindered their effectiveness.

• West Africa is experiencing a wave of resource nationalism, with countries like Burkina Faso and Ghana implementing policies to assert greater sovereignty over minerals. Burkina Faso's leadership has planned to revoke certain foreign mining licenses and prioritize domestic firms, while Ghana enacted the 2025 Ghana Gold Board Act, establishing the Ghana Gold Board (GoldBod) with exclusive authority over gold production and requiring large companies to sell up to 20 percent of export gold to the board.
• Foreign influence in the region's mineral sector is shifting as French influence wanes and actors like Russia and China expand. The Russian Wagner Group has worked to secure gold mines in Mali, and at least 12 foreign governments have signed strategic bilateral agreements for critical minerals, though these deals are often criticized for being negotiated in secrecy.
• Significant economic losses occur due to mineral smuggling and illegal artisanal mining. In 2022, over $30 billion worth of gold (more than 435 metric tons) was smuggled out of Africa, with estimates suggesting 32 to 41 percent of African gold production goes unrecorded. In Ghana, 85 percent of small-scale artisanal mining is estimated to be illegal, and in North-West Nigeria, illegal artisanal mining accounts for over 80 percent of mineral production.
• A lack of technical expertise and infrastructure prevents West African countries from integrating into global value chains, particularly for minerals like lithium used in electric vehicles. This results in the export of raw minerals rather than the development of high-value refining and battery production industries.

APA

Sonuga, E. R. (2025). Harnessing ECOWAS Mineral Wealth: Building a Trillion-Dollar Industry for West Africa. Africa Policy Research Institute. https://afripoli.org/harnessing-ecowas-mineral-wealth-building-a-trillion-dollar-industry-for-west-africa

Chicago

Sonuga, Eniola R. Harnessing ECOWAS Mineral Wealth: Building a Trillion-Dollar Industry for West Africa. Africa Policy Research Institute, 2025. https://afripoli.org/harnessing-ecowas-mineral-wealth-building-a-trillion-dollar-industry-for-west-africa.

Wikipedia

{{cite report |last1=Sonuga |first1=Eniola R. |title=Harnessing ECOWAS Mineral Wealth: Building a Trillion-Dollar Industry for West Africa |publisher=Africa Policy Research Institute |date=29 October 2025 |url=https://afripoli.org/harnessing-ecowas-mineral-wealth-building-a-trillion-dollar-industry-for-west-africa |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{sonuga2025harnessing, author = {Sonuga, Eniola R.}, title = {{Harnessing ECOWAS Mineral Wealth: Building a Trillion-Dollar Industry for West Africa}}, institution = {Africa Policy Research Institute}, year = {2025}, month = oct, url = {https://afripoli.org/harnessing-ecowas-mineral-wealth-building-a-trillion-dollar-industry-for-west-africa}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }