Mining tax burden highest globally, warns Minority Leader

Ghana's mining sector has one of the heaviest tax burdens in the world. This is according to Minority Leader Alexander Afenyo-Markin.

He said high taxes are pushing investors to other countries. This warning came after a meeting with the Ghana Employers’ Association.

Mr. Afenyo-Markin explained that royalties, corporate taxes, special levies, and dividends create a very high effective tax rate. This rate is among the highest for mining countries globally.

The result is capital flight. Investment decisions that should be made in Ghana are happening elsewhere. Other countries have more stable tax systems.

Changes to Ghana's mining tax rules happen too often. This makes investors unsure about long-term plans. Also, proposals to shorten mining lease periods could further reduce investor trust.

A 15-year lease is not long enough for big investments. These projects need large upfront money, and investors need security over a longer time.

The Minority Leader also noted that Ghana's private sector faces many policy issues. He criticized the lack of real discussion during policymaking. Industry concerns are often ignored, even after formal submissions.

The Minority Caucus will push for better talks with businesses. They also want stronger oversight from Parliament. They believe investors need clear rules that stay the same during a project's life.