Dr. Amin Adam Warns of Potential Conflicts of Interest in Proposed GoldBod Initiative
Former Finance Minister, Dr. Mohamed Amin Adam, has raised concerns over the structural design of the proposed GoldBod initiative, warning that it could create conflicts of interest. Speaking in Parliament during discussions on the GoldBod Bill, he cautioned that the initiative’s governance model could undermine regulatory oversight.
Dr. Amin Adam criticized the approach where GoldBod would serve as both a commercial entity and a regulatory body.
“The model where institutions are established to play multiple roles—combining commercial functions with regulatory oversight—is being discouraged worldwide,” he stated.
He further emphasized that best practices globally separate commercial operations from regulatory duties to ensure transparency and accountability.
“The best practice now is to separate the commercial role from the regulatory function so that effective oversight can be maintained,” he added.
The GoldBod initiative, proposed by the government, seeks to formalize gold trading in Ghana, especially within the small-scale mining sector. The primary objectives include:
• Reducing gold smuggling
• Enhancing traceability of gold transactions
• Boosting Ghana’s foreign exchange reserves
• Stabilizing the cedi
Under the proposed framework, GoldBod would be the sole buyer of gold from licensed small-scale miners through accredited aggregators and also act as the sole assayer of the purchased gold.
While government officials argue that this centralized approach will curb illegal gold exports and ensure Ghana benefits fully from its gold resources, critics like Dr. Amin Adam warn that it lacks independent oversight.
His concerns have added to a broader debate over the effectiveness and governance of the initiative, with some industry stakeholders calling for a more independent regulatory framework to prevent potential conflicts of interest.
As Parliament continues deliberations on the GoldBod Bill, Ghanaians will be closely watching whether the government will revise the initiative’s structure to address these concerns.