Working Paper 147 - Gold Mining in Africa-Maximizing Economic Returns for Countries
This paper investigates the maximization of economic returns from mining for African countries. We focus on gold mining, a significant sector in at least 34 African countries. Our point of departure in the paper is the well-documented reality that a large number of resource-rich African countries have benefited little from their resource endowments. This group includes many gold-producing countries. Part of the reason for this state of affairs is the fact that countries have received smaller shares of the rents generated from the sector. Furthermore, those shares have not always been efficiently utilized. We carry out some analysis to provide evidence showing that royalty rates (a major source of revenues from the gold mining sector) in the region can be increased to enable countries to better profit from the sector while allowing firms to realize reasonable returns on their investments. The paper also provides some policy recommendations to not only increase regional countries' share of the resource rent from mining but also to ensure that the revenues received are better allocated.
|Date of creation:||03 Apr 2012|
|Date of revision:|
|Contact details of provider:|| Postal: 15 Avenue du Ghana P.O.Box 323-1002 Tunis-Belvedère, Tunisia|
Phone: (+216) 71 10 39 00
Fax: (225) 21.77.53
Web page: http://www.afdb.org/en/knowledge/publications/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Thomas Baunsgaard, 2001. "A Primeron Mineral Taxation," IMF Working Papers 01/139, International Monetary Fund.
- Saji Thomas, 2010. "Mining Taxation; An Application to Mali," IMF Working Papers 10/126, International Monetary Fund.
- Akpalu, Wisdom & Parks, Peter J., 2007.
"Natural resource use conflict: gold mining in tropical rainforest in Ghana,"
Environment and Development Economics,
Cambridge University Press, vol. 12(01), pages 55-72, February.
- Akpalu, Wisdom & Parks, Peter J., 2005. "Natural Resource use Conflict: Gold Mining in Tropical Rainforest in Ghana," Working Papers in Economics 182, University of Gothenburg, Department of Economics.
- Halvor Mehlum & Karl Moene & Ragnar Torvik, 2004.
"Institutions and the Resource Curse,"
DEGIT Conference Papers
c009_012, DEGIT, Dynamics, Economic Growth, and International Trade.
- Halvor Mehlum & Karl Moene & Ragnar Torvik, 2002. "Institutions and the resource curse," Development and Comp Systems 0210003, EconWPA.
- Mehlum, Halvor & Moene, Karl-Ove & Torvik, Ragnar, 2003. "Institutions and the resource curse," Memorandum 29/2002, Oslo University, Department of Economics.
- Halvor Mehlum & Karl Moene & Ragnar Torvik, 2002. "Institutions and the resource curse," GE, Growth, Math methods 0210004, EconWPA.
- R. Quentin Grafton, 2007. "Economic Development & Environmental Sustainability: New Policy Options - Edited by Ramón López and Michael A. Toman," The Economic Record, The Economic Society of Australia, vol. 83(262), pages 347-349, 09.
- Raddatz, Claudio, 2005.
"Are external shocks responsible for the instability of output in low income countries?,"
Policy Research Working Paper Series
3680, The World Bank.
- Raddatz, Claudio, 2007. "Are external shocks responsible for the instability of output in low-income countries?," Journal of Development Economics, Elsevier, vol. 84(1), pages 155-187, September.
- James Otto & Craig Andrews & Fred Cawood & Michael Doggett & Pietro Guj & Frank Stermole & John Stermole & John Tilton, 2006. "Mining Royalties : A Global Study of Their Impact on Investors, Government, and Civil Society," World Bank Publications, The World Bank, number 7105.
- Ayee, Joseph & Soreide, Tina & Shukla, G. P. & Le, Tuan Minh, 2011. "Political economy of the mining sector in Ghana," Policy Research Working Paper Series 5730, The World Bank.
- Hodler, Roland, 2006.
"The curse of natural resources in fractionalized countries,"
European Economic Review,
Elsevier, vol. 50(6), pages 1367-1386, August.
- Roland Hodler, 2004. "The Curse of Natural Resources in Fractionalized Countries," Diskussionsschriften dp0404, Universitaet Bern, Departement Volkswirtschaft.
- Michael Lokshin, 2006. "Difference-based semiparametric estimation of partial linear regression models," Stata Journal, StataCorp LP, vol. 6(3), pages 377-383, September.
- Bevan, David & Collier, Paul & Gunning, Jan Willem, 1993. "Trade shocks in developing countries: Consequences and policy responses," European Economic Review, Elsevier, vol. 37(2-3), pages 557-565, April.
- Kolstad, Ivar & Søreide, Tina, 2009. "Corruption in natural resource management: Implications for policy makers," Resources Policy, Elsevier, vol. 34(4), pages 214-226, December.
- Deacon, Robert & Mueller, Bernardo, 2004. "Political Economy and Natural Resource Use," University of California at Santa Barbara, Economics Working Paper Series qt68g1n1v8, Department of Economics, UC Santa Barbara.
- Heaps, Terry, 1985. "The taxation of nonreplenishable natural resources revisited," Journal of Environmental Economics and Management, Elsevier, vol. 12(1), pages 14-27, March.
- Bulte, Erwin H. & Damania, Richard & Deacon, Robert T., 2005. "Resource intensity, institutions, and development," World Development, Elsevier, vol. 33(7), pages 1029-1044, July.
When requesting a correction, please mention this item's handle: RePEc:adb:adbwps:378. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Adeleke Oluwole Salami)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.