Mali is poised to generate $1.2 billion (750 billion CFA francs) from its mining sector in the first quarter of 2025, with the entire sum expected to be paid by March 31, 2025.
This announcement was made by Finance Minister Alousseni Sanou in a speech to the parliament, highlighting the significant economic impact of the mining industry on the nation’s revenue.
The Finance Minister emphasized that Mali aims to increase state revenue from 20% to 35%, leveraging the expansion of its interest in producing assets under new mining legislation enacted in 2023.
The new accord also allows Mali to collect 7.5% of sales if gold prices exceed $1,500 per ounce, further boosting the country’s financial prospects.
In late December, following an overhaul of its mining sector, Mali received 500 billion CFA francs after negotiations with mining companies. The country’s mining industry has undergone extensive restructuring since the government adopted a stricter stance on mining operations.
However, not all interactions have been smooth. Recently, Barrick Gold Corp. indicated that it might cease its mining operations in Mali if authorities continue to interfere with its activities and exports.
Mali’s mining sector remains a critical component of its economy, contributing significantly to state revenue and employment. The government’s efforts to strengthen regulations and ensure fair contributions from mining companies are part of a broader strategy to stabilize and grow the national economy.
In October 2024, Mali completed the nationalization of a gold mine previously owned by South African company AngloGold Ashanti and Canada’s Iamgold.
These nationalization efforts are part of Mali’s strategy to increase its control over lucrative mining operations and ensure that the benefits of these resources are more equitably shared.