Dr. Adu Owusu-Sarkodie is urging the government to use Ghana’s Heritage Fund. This fund holds money invested overseas. He believes part of it should now be used for mining projects in Ghana. This would increase the state’s ownership in the country’s valuable mining companies. The goal is to get better economic results for Ghana.
Ghana’s Heritage Fund has about $1.2 billion invested in foreign markets. Dr. Owusu-Sarkodie explained that current overseas returns are being eroded by inflation. This means Ghana is losing money in real terms. He suggested taking about half of the fund, which could be around $600 million, to invest in key resources. These include gold, oil, and lithium. This money could strengthen the state's stake in these vital industries.
This proposal comes at a time when Ghana is rethinking its strategy for managing its natural wealth. The country has faced challenges in ensuring its resources benefit its people directly. Previous efforts have sometimes seen returns fall short. Dr. Owusu-Sarkodie’s idea taps into the sovereign wealth fund, a tool often used by governments to manage national resources for future generations. However, he sees an immediate benefit in boosting local participation and economic gains right now.
Dr. Owusu-Sarkodie made these remarks at a JoyBusiness Roundtable. The discussion focused on nationalizing versus transforming Ghana’s approach to mining. He stated, “When inflation in the US is above the nominal interest we receive, then effectively we are making negative returns.” He argued that withdrawing part of the fund would support strategic mineral resources and drive local development. This includes creating jobs and strengthening Ghanaian businesses.
Using Heritage Fund money for local mining could lead to more jobs and economic growth. It also means Ghanaian companies might get more chances. Dr. Owusu-Sarkodie also wants stronger rules for local content. This means more Ghanaian engineers and managers should be employed. Ghana needs policies to get the most value from its natural resources. This includes developing local skills and increasing state control.