Mining development in sub‐Saharan Africa

Mineral production from sub‐Saharan Africa is an important contributor to the economy at the country, regional and global levels. As an example, in relation to global production, the region provides 40% of diamonds, 20% of bauxite and 20% of rutile. However, with two or three notable exceptions, the region's share of mineral production has been declining compared to that of other regions. Whereas in some cases ore reserve depletion has been a factor, the most important underlying cause has been the absence of an enabling environment to attract high‐risk exploration investment and to support private sector mining development. There has also been insufficient re‐investment by the region's state dominated mining enterprises. Overall, growth is unlikely to occur unless an enabling environment is created to secure and maintain the appropriate levels of investment. The World Bank has recently initiated an African Mining Policy Study with the objective of recognizing and then introducing required adjustment processes into the region's mining industry.