The Impact of Galamsey on Ghana's Political Economy

A comprehensive review of the impact of Chinese galamsey was highlighted in the present dissertation. Specific issues that were taken into consideration included the factors that motivated Chinese miners to immigrate to Ghana, the impact of Chinese mining operations on the political economy, Chinese influences in Africa and neocolonialism, the adverse impact on cocoa farmlands and agriculture in general. In the final section, sustainable solutions were proposed based on the unique challenges facing the mining sector. The findings in the present study were based on primary and secondary sources of data – the approach was justified given that it was not feasible for the researcher to undertake primary research in galamsey areas due to security concerns, time, and financial constraints. Institutional failure, bureaucracies, corruption, and margination of small-scale miners were the key enablers of illegal mining. Chinese galamsey had a multifaced impact on the political economy. For instance, galamsey had resulted in the loss of revenue because proceeds from the illegal mining operations were not taxed. The widespread adoption of galamsey had compromised the operations of large-scale miners because artisans were illegally encroaching on their mining territory. The lack of political goodwill in addressing the galamsey menace was attributed to the mutual dependence between China and Ghana. Isolated cases of government interventions were observed in 2013 when the government initiated widespread crackdown of Chinese nationals leading to the deportation of 4,592 miners; however, the government actions were countered by Chinese withdrawal of development financing worth $3 billion. Thus, to sustain bilateral relations with China, the status quo in the galamsey sector was maintained despite the adverse impact on the environment (farmlands and watercourses), health, and security.


Keywords: Chinese galamsey, illegal mining, Ghana, political economy, gold


Table of Contents


Abstract 2


List of Figures. 4


Chapter One: Introduction. 5


Background Information. 5


The History of Artisanal Mining. 5


Illegal Mining in Ghana. 6


Chinese Galamsey in Ghana. 6


Impact of illegal Mining on Ghanaian Society. 7


Potential Solutions. 8


Research Questions. 9


Research Objectives. 9


Problem Statement 9


Justification. 10


Chapter Two: Literature Review.. 12


Introduction. 12


Ghanaian Economy. 12


Chinese Influences in Africa and Neocolonialism.. 13


Galamsey. 15


Mining Laws and Illegal Mining. 16


Collusion between Ghanaian and Chinese Actors. 18


Chinese Galamsey and Ghana’s Political Economy. 20


Impact of Mining-Related Poverty on Politics. 22


Anti-Chinese Sentiments and its Impact on the Political Economy. 23


Galamsey and Farming. 23


Neo-patrimonialism.. 25


Chapter Three: Research Methodology. 27


Population. 27


Methodology. 27


Quality of Sources. 27


Chapter Four: Results. 29


Introduction. 29


Negative Impacts of Chinese Galamsey. 29


Criminalization of Small-Scale Miners. 30


The Political Economy of Chinese FDI. 31


Political Economy of Galamsey. 32


Political Goodwill 32


Land Ownership. 34


Galamsey and Political Instability. 35


Chapter Five: Discussion. 37


Introduction. 37


Discussion. 37


Market Liberalization and Sustainable Development 37


Large Scale Mining, Galamsey and the Political Economy. 39


Deportation and the Political Economy. 41


Benefits of Chinese galamsey On the Political Economy. 43


Conclusion. 44


Recommendations. 44


Summary. 46


References. 48


List of Figures


Figure 1 The flow of illegal operations in small-scale mines (Bach 2014, p. 17) 20


Chapter One: Introduction


The effect of illegal Chinese small-scale gold miners on Ghana's political economy was investigated in the current study. The flow of unregistered immigrants from China into the country was also taken into consideration. In the final sections of the present study, potential solutions to the problem were highlighted including the role of diplomacy and better border control.


Background Information


The History of Artisanal Mining


The growth of artisanal mining in Ghana despite government regulation was appreciated from a historical perspective (Afriyie, Ganle and Adomako 2016, p. 498). According to historians, artisanal mining started in the 6th, 7th and 8th centuries. Therefore, artisanal mining was a source of livelihood for Ghanaians over the centuries, and it has been the cornerstone of Ghanaian cultures and kingdoms. Traditionally, small-scale mining was limited to alluvial gold extraction on terraces, riverbeds, and floodplains because the locals could not mine gold from hard rocks (Afriyie, Ganle and Adomako 2016, p. 498). Other factors that informed the selection of mining areas included land rights and customary laws. Therefore, it was considered naïve for the government to suppose that it could stop artisanal mining.


Colonization disrupted the hierarchy of mining operations that had been sustained for ages. During the colonial period, the government outlawed the use of mercury and the employment of rudimentary techniques in gold mining. The laws were premised on the fact that gold mining was detrimental to the environment and human health. However, in reality, the purpose of the regulations was to ensure that western companies had exclusive access to the mines (Afriyie, Ganle and Adomako, 2016, p. 498). The colonial mining laws were the genesis of the mining challenges facing the sector to this day. The disenfranchisement of the locals was advanced by the independence government, which favoured state participation and accumulation of mineral wealth through the mining Act of 1962 – such laws were enacted despite the fact that they were detrimental to the welfare of the locals.


Illegal Mining in Ghana


Large-scale mining of gold is controlled by multinationals including AngloGold Ashanti and Asanko Gold (Asanko Gold 2018) while locals and Chinese miners tend to manage small-scale mines. At least one million Ghanaians were working in small-scale illegal mines – a practice referred to as “galamsey” (Samuel et al. 2015. p. 25). Illegal Chinese immigrants had exploited the lapses in law enforcement to protect their operations. The Ghanaian government had initiated efforts that led to the arrest of illegal miners operating in the country. For instance, in 2013, 124 illegal Chinese miners were arrested and subsequently deported (Wang 2013); such actions had strained diplomatic relations between Beijing and Accra especially given the fact that the nation was dependent on China for developmental support. Based on the economic interdependence, the government of Ghana was not in a position to institute a stern action against illegal miners because it required financial support from Beijing.


Chinese Galamsey in Ghana


The involvement of the Chinese in illegal mining operations was first noted in 2006, about two years before the global surge in the commodity prices. Different accounts of how the Chinese entered the country in such large numbers without arousing the interest of the law enforcement authorities were proposed. Some argued that the initial batches of illegal miners came to Ghana through neighbouring Togo while others arrived at the country using tourist visas (Crawford and Botchwey, 2017, p. 447). Given that the miners did not use official channels to engage in mining, the actual number of illegal miners was based on estimates.


Illegal mining by the Chinese in Ghana was attributed to both external and internal factors. Internal factors were limited to policies adopted by the Ghanaian government while external factors were beyond the control of the Ghanaian government such as economic considerations that motivated the Chinese to immigrate to Ghana and pursue illegal mining. The first engagements between China and Ghana were traced to the post-independence period in Ghana when the country formally established bilateral relations with China (Aidoo 2016, p. 56).


A peak in illegal mining activities by the Chinese could be traced to the period between 2011 and 2013 when the global economy witnessed a surge in the price of commodities (Fick 2017). The higher value derived from the sale of gold motivated most of the Chinese businesspersons to immigrate to Ghana. The first Chinese miners immigrated to Ghana in 2006 – majorities of the immigrants were residents of the Shanglin County – a former gold mining area (Crawford et al. 2016, p. 3).


In addition to working in cohorts with local Ghanaians who possessed licenses to participate in gold mining, the Chinese exploited loopholes in the laws, which permitted foreigners with technical expertise to provide support services to small-scale miners. Nonetheless, such provisions were eliminated by the new mining regulations adopted by the government in 2006; currently, the law states that artisanal mining was the preserve of Ghanaians (Crawford et al. 2016, p. 3).


Impact of illegal Mining on Ghanaian Society


Illegal mining had a multifaceted impact on the economic development and the society. For instance, galamsey was characterised by labour exploitation; local miners were paid about $2 per day ($60/month) while the Chinese received at least $976 per month (Song 2013). Artisanal mining had also contributed to the destruction of the environment due to widespread pollution of the rivers (Danyo and Osei-Bonsu 2016, p. 113). The primary pollutant was mercury, which was employed by the artisanal miners to purify the gold. However, traces of other chemicals including arsenic were detected in the rivers. Crawford et al. (2016, p. 1) noted that if no measures were instituted to address the widespread pollution of the water sources, mining chemicals would soon contaminate all natural sources of potable water and the country would be forced to import water by the year 2020. The projections were an indication that Chinese galamsey was endangering the lives of Ghanaians.


Mining activities had also resulted in noise and air pollution caused by the detonation of the underground mines (Bansah, Yalley and Dumakor-Dupey 2016, p. 14). Increased mechanisation of the mines owing to the widespread availability of equipment introduced by the Chinese had improved the annual gold yields from the mines – it was recently estimated that the quantity of gold derived from the illegal mines was 30 percent of the national output (Crawford et al. 2016, p. 4). Thus, the government was losing 30 percent of the mining revenues (through taxes and royalties) considering that galamsey gold was smuggled out of the country.


Potential Solutions


The growing scale of galamsey operations following the entry of Chinese miners had necessitated the adoption of multi-faceted approaches in dealing with cases of illegal mining. The government had initiated various approaches including the deportation of illegal miners. However, deportation did not stop the illegal activities by Chinese miners due to rampant corruption in all levels of government (Bach 2014, p. 24). Thus, it was proposed that the government should initiate a robust anti-corruption campaign that would result in the prosecution of immigration officials, police officers, and government officials who were accomplices in the illegal mining operations. The second solution was the exploitation of diplomatic channels between China and countries that shared borders with Ghana. A diplomatic approach would help to restrict the movement of illegal Chinese miners given that most miners used illegal means to gain entry into the country. Another possible solution to illegal mining was the development of alternative sources of livelihood beyond mining because artisanal miners did not have an alternative source of livelihood.


Research Questions


1. What were the factors that contributed to the influx of Chinese miners in Ghana?


2. What was the impact of Chinese influences in Africa?


3. What was the impact of illegal Chinese mining activities on the Ghanaian political economy?


4. To what extent were the Chinese galamsey activities detrimental to the farmlands?


5. What were the potential solutions to the illegal mining crisis?


Research Objectives


1. To investigate the factors that contributed to the immigration of small-scale Chinese miners to Ghana


2. To investigate Chinese influences in Africa


3. To analyse the impact of illegal mining activities advanced by the Chinese on the Ghanaian political economy


4. To determine the impact of Chinese mining on farmland with a particular emphasis on cocoa farming


5. To explore and propose feasible solutions to the mining crisis in the country


Problem Statement


The widespread adoption of illegal mining in Ghana informed the present study given that illegal mining accounted for at least one-third of the total gold output in the country (Fick 2017). Galamsey had multiple disadvantages both at the national and at the community level. First, illegal extraction of gold by foreigners deprived local communities off their source of livelihood especially given that most of the rural communities were reliant on gold extraction to sustain their daily needs (Samuel et al. 2015, p. 40).


Secondly, illegal mining was detrimental to environmental sustainability because small-scale miners used technologies that contributed to the degradation of the environment (Samuel et al. 2015, p. 43). Small-scale miners did not have the capabilities to employ appropriate technologies in mining; thus, most relied on rudimentary technologies that were harmful to the environment. For instance, some had diverted natural river courses leading to the pollution of the environment through leaching and soil erosion.


Besides, water sources that were used by local communities were contaminated with mercury which was the primary chemical employed in gold extraction (GEPC 2010). Despite the recent crackdown and deportation of small-scale Chinese miners by the Ghanaian Immigration Service, it was noted that such practices were still prevalent in rural regions of Ghana. In 2013 alone, it was estimated that up to 4,500 illegal miners from China were deported (BBC 2013). Nonetheless, the number of illegal miners who were expelled was considered to be insignificant given the fact that it was estimated that there were between 20,000 to 50,000 Chinese in Ghana engaging in illegal mining activities (Bach 2014, p. 15). Besides, some of the illegal miners had resorted to mining at night to avoid arrest by the law enforcement authorities (BBC 2013). Another issue of concern was that unlawful mining activities deprived the Ghanaian economy of a crucial source of revenue because most of the illegal miners did not pay taxes or royalties to the government.


Justification


The findings derived from the present study would inform the development of mining policies in the country in the future especially considering that the deportation of Chinese miners had strained economic and political ties between China and Ghana. Recognizing the challenges associated with illegal Chinese mining operations at the expense of indigenous Ghanaians and the national economy would enable the government to make informed decisions such as regulating the movement of foreigners into the gold belts. Moreover, a brief literature search established that there was a significant research gap because no previous study had investigated the link between the political economy and galamsey in the recent past. Most of the studies were limited to environment and food security (Samuel et al. 2015, p. 1; Danyo and Osei-Bonsu 2016, p. 112). Besides, the available body of knowledge regarding the scope of Chinese mining operations in the country was guided by news reports. Therefore, there was a need to present detailed facts that were founded on academic literature. The review proposed feasible solutions to the current crisis to ensure that Ghana did not compromise its diplomatic relations with China because both economies were mutually dependent. Recent actions by Ghana were a clear indication that diplomatic channels had not been explored because the decision to deport the miners was not acceptable to the Chinese government (Fick 2017).


Chapter Two: Literature Review


Introduction


The primary objective of the literature review section was to provide a detailed understanding of the state of Chinese galamsey, artisanal mining by Ghanaians, and their impact on the political economy. The present literature review was primarily based on three literature sources namely (Crawford et al. 2016, p. 7), (Abdulai, 2017) and (Aidoo 2016). The primary focus of the review was to discuss galamsey, its effect on the political economy, the movement of illegal Chinese immigrants and feasible solutions to the challenge.


Ghanaian Economy


Ghana was selected as the country of choice because it is among the leading exporters of gold in Africa. Moreover, the Ghanaian government derives at least 48 percent of its exports from gold (Simoes 2018), equivalent to $4.43 billion. At least 90 percent of the gold deposits in Ghana are located within the Ashanti region. In particular, gold in Ghana is mined from four gold belts namely the Asefwi, Ashanti, Winneba-Kibi, Asankragwa gold belts (Asanko Gold 2018).


Recently, economic growth in the country has declined due to fluctuations in the global commodity prices (The International Trade Administration 2018) – an indication that the global economic recession significantly impacted the country's economy. The World Bank estimates indicate that the GDP and GNI of Ghana in 2018 were $43.65 billion and $1,380, respectively (World Bank 2018a). Thus, Ghana can be considered a lower-middle income economy. Ghana’s economy was recently ranked 64th


in the world (Simoes 2018) and one of the top ten economies in Africa. The World Bank estimated that in 2017, the economy expanded by 6.6 percent. The growth was augmented by contributions from mining, finance, communication, and agriculture.


Chinese Influences in Africa and Neocolonialism


The ‘look-east policy" adopted by a majority of African countries had catalysed Chinese investments in various mining operations in South Africa, Ghana, Sudan, DRC, and Tanzania among other countries. Apart from mining, China had also positioned itself as a complementary source of developmental aid, financing and technical labour. The current influence of China on Africa dates back to the 1960s and the 1970s when China hoped to substitute western imperialism with communism (Brookes and Shin 2006). However, following the end of the cold war, China redefined its interest in Africa to high impact areas such as manufacturing and transport. In contrast, western engagement with Africa was defined by the rule of law and democracy. The success of the approach adopted by China was evident when China became Africa's largest trading partner surpassing the US (Alessi and Xu 2017). Besides, the Chinese Exim Bank was gradually replacing Breton woods institutions as a source of developmental support. In the first six months of 2017, the trade between China and Africa surged by 19 percent to approximately $85 billion (Athman 2017) – an indication of the formidable influence of China.


Based on the above dynamics, it was noted that China had been widely considered a viable alternative to Western investments because the Beijing model advocated for non-interference in local state affairs (Hanauer and Morris 2014, p. 64). The no strings attached development financing was superficially appealing to African government who were less concerned of accountability, democracy and human rights, which were the hallmarks of Western aid (Hanauer and Morris 2014, p. 57). The Chinese investment model was the primary reason why most African governments had collaborated with Chinese companies in development projects (Brautigam, 2016). However, investments by the Chinese in Africa were checkered by the unethical mining practices that were detrimental to the local economies in multiple ways. For instance, Chinese investors did not maintain appropriate occupational health and safety standards thus exposing their workers to work-related accidents (Hanauer and Morris 2014, p. 66). Additionally, it was noted that employees in Chinese mines were underpaid, mistreated, and exposed to psychological abuse.


Other limitations associated with Chinese investments included the “Beijing’s national going out policy”. Under the policy, Chinese companies were expected to spearhead the exploitation of national resources from other countries (Tschakert 2016, p. 127). The plan was however not in tandem with the expectation of African nations. The policy had also resulted in the importation of Chinese labour to implement Chinese funded projects in Africa despite the fact that there were skilled locals to execute the duties.


The unique dynamics of Chinese investments in African had raised critical concerns whether such influences were equal to neocolonialism (Manero 2017). However, whether Chinese influences amounted to the modern colonisation of African countries was dependent on one's viewpoint. Based on realism, Chinese operations could not be regarded as neocolonialism because the China-African trade was premised on willful engagement. In contrast, colonialism was founded on forced participation. The perspective was justified by a report published in The Economist (The Economist 2013). According to the report, the one million-strong population of Chinese in Africa had visited the continent for various purposes including tourism.


Presently, there was compelling evidence against the neocolonialism claims. In particular, Chinese physicians made tangible contributions to the Ebola epidemic in western Africa. Besides, Chinese corporations had contributed to the industrialisation of Africa through the construction of new infrastructure such as schools, railways, ports, and factories (Manero 2017). Despite the negative perceptions towards Chinese miners, it was noted that the Chinese had remedied the mining conditions in mines that had been abandoned by Western investors. The involvement of the Chinese had contributed to economic growth by creating employment, royalties and taxes to the government for the mining rights. Therefore, mutual benefit has been the key driver of Chinese engagement in Africa (Manero 2017)


However, there are divergent opinions that pointed to an emerging trend of neocolonialism. Such views were informed by the fact that Chinese were primarily concerned with the exploitation of Africa’s mineral wealth, a practice that had resulted in significant trade imbalances (Manero 2017). The skewed trade had incapacitated most African countries that were also repaying Chinese loans. Besides, the use of Chinese labour in infrastructural developments reinforced the perception that the Chinese were manifesting neocolonial tendencies (Manero 2017). Therefore, the argument that Chinese neocolonialism in African was disguised as development partnership had merit to a certain extent. Recently, it was established that African countries had to cede some aspect of their sovereignty to sustain Chinese engagement. In particular, countries that were more receptive to China’s foreign policy secured greater Chinese aid. The support for China’s foreign policy was manifested differently including voting in the UN. Specific cases include South Africa’s denial of entry for the Dalai Lama and the deportation of Taiwanese nationals by Kenya’s immigration system (Manero 2017).


Galamsey


The widespread adoption of artisanal mining practices in Ghana had raised fundamental policy concerns including the need to optimise the mineral benefits to small-scale miners who were primarily dependent on mining for sustenance while at the same time minimising the adverse impact on the environment (Abdulai 2017, p. 1). Current statistics indicated that the sector had a potential to alleviate rural populations from poverty and contribute to economic growth. Gold production from galamsey had increased from 11 percent in 2005 to 36 percent in 2014 (Abdulai 2017, p. 1). Besides, about 60 percent of the entire mining workforce in Ghana was working in illegal mines. Such mine engaged directly or indirectly at least a million people (Abdulai 2017, p. 1). The gold output from the illegal mines was equivalent to the total amount of gold produced by the country’s three large-scale miners (Abdulai 2017, p. 1). In contrast, the large-scale gold miners only employed about 28,000 people based on 2011 records (Samuel et al. 2015, p. 25). In the same year, the multinationals-recorded revenues were worth $5 billion, this was equivalent to close to one-half of the total direct investments in minerals between 1983 and 2011 (Samuel et al. 2015, p. 25).


The preference for illegal mining was partly attributed to the bureaucracies in licensing. Such bureaucracies had made it impossible for artisans to adhere to the legal requirements. The high poverty levels also exacerbated the problem in rural areas. Besides, the process of transferring locals from their indigenous land to pave the way for large-scale mining corporations had contributed to social injustice and resentment among locals, which in turn fueled illegal mining (Abdulai 2017, p. 2). In an attempt to address such concerns, the government had strived to ease the process of acquiring small-scale mining licenses and providing supplementary sources of income for locals who were displaced. Moreover, the government had allocated land for artisanal mining. Nonetheless, each of the processes as mentioned above was not successful in curtailing the spread of galamsey (Abdulai 2017, p. 2).


Mining Laws and Illegal Mining


The legalisation of artisanal mining in 1989 was considered a miscalculated step on the part of the government given that persons who had previously mined gold were now turned into illegal miners because they could not obtain relevant licenses owing to government bureaucracies (Bach 2014, p.14). After the legalisation of small-scale mining, the government also revised the laws that had barred mercury. The legalisation of mercury enabled locals to extract more gold, which in turn motivated more people to engage in illegal mining leading to the “gold rush” (Bach 2014, p. 14). However, it was observed that the laws were not in tandem with the current realities. For instance, legalisation of mercury posed significant health risks while formalisation of galamsey made it impossible for the government to regulate the sector.


Apart from the shortcomings of the mining laws, it was noted that initiatives undertaken by the Ghanaian government together with the development partners such as GIZ (formerly GTZ) were not successful. For instance, in the 1990s, GTZ had initiated a project aimed at providing mining equipment and technical support. One of the successes of the GIZ project was the establishment of the small-scale mining project at Tarkwa (Hilson and McQuilken 2014, p. 110). However, the project was short-lived due to the mismatch between the expectations of the donors and the locals. For instance, small-scale miners in remote locations lacked technical knowledge to sustain the mining models due to the absence of appropriate ethnographic information (Hilson and McQuilken 2014, p. 110).


The situation was further compounded by illiteracy. Therefore, there were limited income generating activities that they could pursue given that only 21 percent of the Ghanaian land was suitable for farming (Bach 2014, p. 3). The shortcomings of the legalisation informed the government's decision to introduce new mining laws. According to the new mining laws that came into force in 2006, foreigners were barred from operating in small-scale mines. The Mining Act also prohibited non-locals from purchasing land that was reserved for locals. The essence of the Act was to ensure that galamsey benefited the local populations. Nonetheless, the locals had not benefitted from the law because it was not enforced by the law enforcement agencies (Aidoo 2016, p. 60).


Collusion between Ghanaian and Chinese Actors


Crawford et al. (2016, p. 4) argued that the success of the mining operations by the Chinese was facilitated by a host of factors including help from local actors. The local actors include traditional leaders (chiefs) and high-ranking government officials who introduced the illegal miners to the landowners, the police, and the immigration system officials who ensured that their operations were not affected by the government’s crackdown on galamsey. Additionally, it was the local actors who contributed to the disregard of the new mining regulations that illegalised small-scale mining operations by foreigners through sub-leasing concessions (Crawford et al. 2016, p. 4).


The association between the two actors had significantly contributed to the mechanisation of mining operations. The introduction of excavators, grinders, wash plants, suction equipment, smelters, and other heavy machinery facilitated in the automation of the operations (Crawford et al. 2016, p. 4). Considering that mechanisation of small-scale mines was capital intensive, a majority of the Ghanaians leased out their firms and in turn, received a certain percentage from the mining operations. The alliance had facilitated the entry of approximately 50,000 miners who acquired mining property by paying local landowners an average of 30,000 Ghana Cedis equivalent to US$6740± (Bach 2014, p. 16).


Gold mining estimates in 2013 indicated that production of gold from artisanal mines had reached 1.576 million ounces which were an improvement from 0.225 million ounces extracted in 2005 (Crawford et al. 2016, p. 6). The total amount of revenue that was lost through the sale of gold was substantial given that the gold exports were subjected to a 25 percent tax (Bach 2014, p. 15). The chain of the process undertaken in galamsey operations leading to the smuggling of the gold was depicted in Figure 1. The unregistered actors, in this case, included the Chinese miners who worked in cohorts with Ghanaians possessing mining licenses.


Figure 1 The flow of illegal operations in small-scale mines (Bach 2014, p. 17)


The sustained growth of illegal mining could also be partly attributed to entrenched resentment among locals against multinational companies that were accorded preferential treatment in gold mining. For instance, in 2006, the government resettled people living in Prestea to pave the way for mining operations by Gold Star (Hilson, Yakovleva and Banchirigah 2007, p. 413). In addition to the resentment caused by the displacement from indigenous lands, the association between most of the mining companies and locals was defined by patronage.


In contrast, the Chinese miners had made themselves indispensable to small-scale miners by filling in the vacuum left by fiscal incentives and mining policies that were biased against locals. In contrast to the bureaucracies that were the hallmark of local mining offices, the Chinese provided the locals with ready access to start-up funds, technical labour, and mining equipment (Tschakert 2016, p. 127). The provision of diversified resources had however advanced the informality and exploitation of the locals because the Chinese miners were the ultimate beneficiaries. However, despite the negative aspects of Chinese operations in Africa, most people had positive views regarding Chinese investments (Hanauer and Morris 2014, p. 55).


Chinese Galamsey and Ghana’s Political Economy


The current and past developments illustrated that illegal mining had a significant impact on the Ghanaian politics. In particular, the ability of the Ghanaian government to act on illegal Chinese miners was restrained by the financial dealings between Beijing and Accra. For instance, in 2013, the government was unable to commit entirely to the fight against galamsey because it was renegotiating a $3 billion loan advanced by China (Aidoo 2016, p. 61). Besides, it was noted that the government was only willing to deport Chinese miners when there were no funds available from Beijing. For example, over 700 illegal miners were deported after the Chinese government halted the disbursement of a credit facility advanced to Ghana (Aidoo 2016, p. 61). Such incidences contributed to the sense of mistrust between the locals and the government because it seemed that the Ghanaian government was more focused on sustaining its foreign relati

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