Mali’s ruling junta has suspended foreign small-scale gold mining permits due to fatal accidents, ceasing new approvals and dismissing local officials. Experts warn this could harm local economies and deter foreign investment. With gold accounting for 80% of revenue, Mali’s safety issues in artisanal mines are critical, leading to disputes with foreign firms and a drop in production in 2024.
Mali’s ruling junta has instituted a suspension on small-scale gold mining permits for foreign nationals following several fatal accidents in the country’s mining operations. This policy halts the approval of new permits, authorizes the seizure of equipment from unauthorized mining sites, and entails the dismissal of local officials where fatalities have occurred.
Experts caution that these measures could adversely affect local economies and discourage foreign investment. Gold exports contribute 80% to Mali’s national revenue, highlighting the potential economic implications of these actions.
As one of Africa’s leading gold producers, Mali faces significant challenges regarding safety in artisanal mining. Recent collapses in mines have led to numerous fatalities, underscoring the critical need for improved safety measures. The junta’s increased control over the mining sector has also sparked disputes with foreign firms, resulting in a notable 23% decrease in gold production for the year 2024.
In summary, the Mali Junta’s suspension of gold mining permits for foreign nationals responds to a series of deadly accidents but raises concerns about economic repercussions and foreign investment. With a heavy reliance on gold exports and escalating safety issues, the balance between regulatory measures and economic stability remains precarious. The ongoing disputes with foreign mining firms and a projected decline in production further complicate the situation.
Original Source: www.firstpost.com
