Côte d’Ivoire, situated on the coast of West African coast, boasts a diverse population of over sixty ethnic groups, with French being the official language. With a population of 29.4 million as of 2021, the country’s economy has historically relied on agriculture, providing livelihoods for over alf of its labour force. However, there is a vision to elevate the mining sector to become the second pillar of the Ivorian economy.
All that glitters is gold
Côte d’Ivoire possesses significant geological and mining potential, with approximately 35% of West Africa’s birimian gold-rich greenstone belts and other commodities, along with 18.6% of the region’s archean-based metal-rich rocks. Recent major discoveries in gold resources include Tanda (4.5
million ounces), Doropo (five million ounces), and Kani (4.87 million ounces).
Strengths in mining
The mining sector in Côte d’Ivoire benefits from various strengths, including favourable socio-economic factors, political stability, nationwide security, modern infrastructure, energy availability, highly qualified human resources, and a welcoming population.
In addition, the sector enjoys exemptions from customs duties and VAT, utility vehicles eligible for temporary admission, and an extended validity period for exploration permits. Measures promoting transparency, such as membership in the Extractive Industries Transparency Initiative (EITI) and the Kimberley Process, further enhance the attractiveness of the Ivorian mining industry to investors.
A dynamic landscape
West Africa’s mining landscape is dynamic, with US$18- Billion of projects declared, potentially costing between US$35-Billion to US$40-Billion. Key hubs in the region include Ghana and Côte d’Ivoire, with Nigeria, Guinea, Burkina Faso, Senegal, and other countries contributing to a strong regional mining basket. However, political instability in the Sahel region poses threats to regional development.
Challenges and opportunities
Despite the immense opportunities in West Africa’s mining sector, several challenges persist. Infrastructure deficits, border bureaucracy and instability evidenced by recent coups and attacks on mines hinder trade and investment. Nevertheless, there is a real opportunity for the modernisation and privatisation of critical infrastructure.
Global competition and regionalIntegration
West Africa’s rapid growth in various sectors attracts global attention, leading to increased competition from both traditional and emerging economic powers. While South Africa faces barriers due to its lack of land links to key growth areas, opportunities abound in countries like Ghana, Guinea,Liberia, and the Sahel states, albeit with security concerns.
Leveraging Regional Agreements
The African Continental Free Trade Area (AfCFTA) presents opportunities for regional trade, with thirty-one countries expected to be trading under AfCFTA by the end of 2024. However, while AfCFTA provides advantages over highercost producers, competition from Asia and MENA countries intensifies, emphasising the need to leverage the benefits of AfCFTA effectively.
A burgeoning opportunity
Côte d’Ivoire stands at the forefront of West Africa’s burgeoning mining sector, offering favourable conditions for investment and development. With a strategic vision to elevate mining as a key economic driver, the country presents significant opportunities for investors seeking to capitalise on the region’s rich mineral resources. Despite challenges, the West African mining landscape remains dynamic, with concerted efforts towards regional integration and economic growth.