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The benefits of resource extraction in mining districts: Citizens’ perceptions in Ghana

Year: 2025

Type: article

Abstract: • The paper examines whether large-scale mining in Ghana benefits citizens of mining districts where resource extraction happens. • It utilizes Afrobarometer's Round 9 survey on Ghana to compare the perceptions of citizens in mining districts to those in non-mining districts regarding the benefits of resource extraction in terms of jobs and revenue to local communities. It also measures perceptions about whether mining districts receive a fair share from resource extraction. • The paper emphasizes the importance of studying citizens’ perceptions to understand how attitudes towards political and economic factors inform beliefs towards the benefits and costs of mining activities. This study investigates citizens’ perceptions of the socioeconomic benefits of mining in Ghana, focusing on whether mining districts benefit from revenues generated through resource extraction. Using Afrobarometer survey data, the research addresses two key questions: whether citizens believe the benefits of mining, such as jobs and revenues, outweigh negative impacts like pollution and deforestation, and whether they feel mining districts receive a fair share of these revenues. The results show that fewer than half of citizens believe the benefits outweigh the costs or that mining districts receive a fair share of revenues. Regression analysis finds no statistically significant differences in attitudes between citizens in mining and non-mining districts. However, those who believed the benefits outweighed the costs were more likely to report higher poverty levels and view government economic management positively. Additionally, support for the ruling party was associated with the belief that mining districts receive a fair share of revenues, suggesting patronage politics may influence perceptions. These findings are consistent with the idea of a local resource curse and highlight the need for further research on the capacity of institutions to redistribute mining revenues.

Source: The Extractive Industries and Society

DOI: 10.1016/j.exis.2025.101667

Author: Hangala Siachiwena

Institution: University of Cape Town

Language: English

Topic: Natural Resources and Economic Development

Subfield: General Economics, Econometrics and Finance

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDGs: Reduced inequalities, No poverty, Peace, justice, and strong institutions, Decent work and economic growth

Open Access status: hybrid

Estimated APC paid: $3,470