Research arm of Fitch Ratings, Fitch Solutions, has ranked Ghana second in the Sub-Saharan Africa in its latest Mining Risk/Reward Regulations Index.
According to the Fitch Solutions, the ranking is indicative of Ghana’s attractiveness to mining investors. Already, Ghana’s mining industry has attracted some of the world’s biggest mining firms – AngloGold Ashanti, Newmont just to name a few.
In its report, the agency notes that, Ghana with a score of 73 percent in its risk/reward index, has one of the lowest regulatory risks in the industry.
Ghana boasts of huge natural resource endowments such as gold and bauxite and is presently the biggest producer of gold on the continent with total production projected to further increase by 9 percent reaching 4.7 million ounces by 2024.
“Business indicators such as mining regulations and competitive landscape has helped attract investors into the sector, this positions Ghana as a stronger place to do mining business on the continent,” stated Fitch Solutions.
“Risk/reward index rating will continue to favour the relative political and economic stability of Ghana,” Fitch Solutions added.
Ranked first in the Mining Risk/Reward Regulations Index, was Botswana, with Namibia, South Africa and Guinea placing third, fourth and fifth respectively.