Mali starts construction of Russia-backed gold refinery
The 200-ton capacity facility, in which Mali has a controlling stake, will be built in partnership with Russia's Yadran Group and a Swiss investment company.
Mali's interim president Colonel Assimi Goita said last year that all mining companies will be required to process their gold domestically under a revised mining code, without providing a deadline.
That reflects a broader regional shift extending across the Sahel, where Guinea, Niger and Burkina Faso have also revised mining codes to mandate local processing, adding value to their exports and boosting the economic benefits of their resources.
"Since 1980, Mali's gold has been exported for refining and sale to countries such as the United Arab Emirates, South Africa, and Switzerland," Goita said at the groundbreaking ceremony for the new plant in Senou, outside the capital Bamako.
"This deprives our country of substantial revenues that could be used for the development of its economy."
The government has not provided a deadline for the plant's completion. Once fully operational, it will process all gold produced in Mali into dore bars before it is exported, with a capacity nearly four times Mali's annual gold production.
Echoing comments from Goita, Yadran President Irek Salikhov said at the ceremony the refinery will become "a regional center for processing gold extracted not only in Mali, but also in neighboring countries — like Burkina Faso".
West Africa is a major gold producer, but lacks a functional and globally certified gold refinery despite attempts to create one including by Ghana, the continent's top gold producer.
The refinery is part of Goita's sweeping mining reforms introduced since the military leader seized power in 2021 and severed relations with Western partners. Mali's revised mining code, like those of neighbours Guinea, Niger and Burkina Faso, has rattled investors.
A Malian court this month put Canadian miner Barrick's Loulo-Gounkoto gold complex under temporary state control, escalating an ongoing dispute over Mali's tax claims.
Goita said the refinery would enable Mali to better track its gold production and exports. Like many African countries, it loses billions of dollars to gold smuggling due to the absence of certified gold refineries and traceability programmes.
(Reporting by Tiemoko Diallo & Idrissa Sangare; Writing by Maxwell Akalaare Adombila; Editing by Jessica Donati and Jan Harvey)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Zawya
an hour ago
- Zawya
African Development Bank and Invest in Africa Sign $850,000 Grant Agreement to Boost Inclusive Green Jobs in Ghana and Senegal
The African Development Bank ( has signed a $850,000 grant agreement with Invest in Africa (IIA), a non-profit organization, to support the MicroGREEN project to provide livelihood opportunities for marginalized and vulnerable groups in Ghana and Senegal. Titled, Strengthening Women, Youth, and People with Disabilities' Micro-Entrepreneurship for Green Jobs in Natural Resources, this initiative aims to generate up to 500 green jobs, focusing on the agroforestry, fisheries, and biodiversity conservation sectors. It is funded through the Bank's Fund for African Private Sector Assistance (FAPA), alongside an initial $1 million grant commitment by the Bank's Youth Entrepreneurship and Innovation Multi-Donor Trust Fund to support the project over two years. These targeted sectors hold high potential for climate-resilient employment and require a skilled workforce capable of managing ecosystems and deploying green technologies. Despite their potential, women and youth in Africa remain largely underrepresented in Africa's sustainable growth sectors. Increasing their participation, especially in employment-intensive green industries, could accelerate inclusive and resilient economic development across the continent. The FAPA grant will fund the Capacity Development and Value Chain Enhancement component of the MicroGREEN project. Many small and medium enterprises (SMEs) in fragile or transitional economies like Ghana and Senegal face limited access to entrepreneurship training and business development services. These constraints are particularly acute for women- and youth-led enterprises and are compounded by high service costs and systemic socio-economic and gender-based barriers. To help address these challenges, the MicroGREEN project will deliver high-quality entrepreneurship training, tailored business development services, and mentorship programs for women, youth, and people with disabilities in agriculture-based sectors. By strengthening capacity and integrating micro enterprises into green value chains, the project seeks to stimulate local job creation and promote inclusive participation in Africa's green economy. Invest in Africa will serve as the implementing partner for the project. As a non-profit organization, IIA is dedicated to supporting African SMEs by facilitating market access, developing skills, and improving access to finance. FAPA is a multi-donor trust fund that supports technical assistance and capacity building initiatives aligned with the African Development Bank's Private Sector Development Strategy. The Government of Japan is FAPA's primary donor. Since its inception, FAPA has financed over 100 projects across more than 38 African countries, committing more than $80 million to improve business environments, deepen financial systems, and foster the growth of micro, small, and medium enterprises. FAPA funding allows the Bank to play a more active role in upstream project preparation, thereby strengthening the pipeline of bankable private sector operations. Distributed by APO Group on behalf of African Development Bank Group (AfDB).
Zawya
3 hours ago
- Zawya
Briefing Highlights: How the African Development Fund is Financing Africa's Future in a Shifting Global Landscape
The African Development Fund, the African Development Bank Group's ( concessional financing arm, was the focus of a special edition of the African Transformation Briefing co-hosted by the African Center for Economic Transformation (ACET) and the Global Strategic Communications Council. Moderated by ACET Communications Manager Belinda Ayamgha, the session was held virtually on 29 July 2025. The media-focused event convened development partners, journalists, and policymakers for an in-depth conversation on the Fund's role in financing economic transformation across 37 low-income African countries, nearly half of which are classified as fragile states. Valerie Dabady, Manager of Resource Mobilization and Partnerships at the African Development Bank, delivered a keynote presentation outlining the Fund's catalytic impact, financing structure, and evolving strategic direction. She underscored the Fund's ability to channel investments in areas such as climate resilience and regional integration through concessional resources tailored to country-specific needs and highlighted plans to expand its resource base. 'With 37 member countries and over $45 billion in investments since inception, the African Development Fund is a cornerstone of Africa's development financing architecture,' Dabady said. 'As we look toward the future, innovations like market borrowing and expanded donor engagement will be critical to increasing our impact.' The briefing also featured a country perspective from Joseph Chanda, Assistant Director for Economic Management and Planning in Zambia's Ministry of Finance. Chanda highlighted how Zambia is leveraging African Development Fund resources to accelerate infrastructure development, build climate resilience, and deepen regional integration. 'ADF financing has played a transformative role in Zambia,' he noted. 'By allocating just 10% of our national resources to the Lobito Corridor, we were able to leverage over $330 million in regional window co-financing. These are the types of investments that build real economies and regional prosperity.' The Lobito Corridor, a strategic rail and road project connecting Angola, the Democratic Republic of Congo, and Zambia, is among the largest regional integration initiatives currently under preparation with support from the African Development Fund. With a $500 million commitment, the Fund is helping to finance and de-risk the project, which is expected to catalyze investment in logistics, agriculture, and mining, particularly in critical minerals vital to the global energy transition. Chanda also referenced the Kazungula Bridge Project, a regional integration initiative co-financed by the Fund with an investment of $68 million. Completed in 2021, the 923-meter-long bridge spans the Zambezi River, connecting Zambia and Botswana and replacing a long-standing ferry service. The project also includes One-Stop Border Posts on both sides of the bridge, significantly streamlining customs procedures and reducing transit times along the North–South Corridor. It supports intra-African trade, enhances regional logistics efficiency, and has become a key node for trade between Southern and Central Africa. Participants raised questions on donor engagement, capital market access, and the future structure of the Fund. Dabady reaffirmed the Bank's ongoing efforts to attract non-traditional partners and finalize approvals that would enable the Fund to access capital markets. 'The ADF has long flown under the radar,' she said. 'But this is a pivotal moment to raise its profile, demonstrate impact, and unlock greater investment for Africa's most pressing priorities.' The session concluded with a call to action from Kerezhi Sebany, Africa Director for Economic Opportunities at the ONE Campaign. 'We must shine a light on the African Development Fund,' she said. 'When people know what the Fund is and what it delivers, it fosters transparency, trust, and partnership. Now is the time to tell the ADF story and tell it boldly.' The African Development Fund is currently undergoing its 17th replenishment cycle (ADF-17). The next consultative meeting with development partner representatives will be held virtually on 18-19 September 2025. This will be followed by a meeting in Lusaka, Zambia in October, where Zambia government representatives will share results and country-level experiences. The final pledging session for ADF-17 is scheduled for December 2025. Watch the briefing: Distributed by APO Group on behalf of African Development Bank Group (AfDB).
The National
4 hours ago
- The National
Saudi Arabia's industrial output matches 2023 high amid continued economic momentum
Saudi Arabia's industrial output in June rose to the highest level since April 2023 as the country's economy expands, with oil and non-oil sectors maintaining growth momentum. The Industrial Production Index, a measure that gauges the progress of the kingdom's industrial sector, rose by 7.9 per cent to 111.9 in June compared to the same month last year, driven by mining and quarrying as well as a sharp rise in manufacturing, latest data by the General Authority for Statistics (Gastat) showed. In June, the kingdom's mining and quarrying activity, which includes upstream oil and gas sector output, increased by 6 per cent on an annual basis. The rise was driven by Saudi Arabia's push to increase its oil production to 9.36 million bpd during the month compared to 8.83 million bpd in June 2024, Gastat said. Opec+ members led by Saudi Arabia and Russia have been increasing crude production since April, as part of plans to regain market share and support economic growth. The alliance of producers increased output by 138,000 barrels a day in April and 411,000 bpd each in May, June and July. They also agreed to raise production for August and September by 548,000 bpd and 547,000 bpd respectively. The latest government data also shows manufacturing activity in June increased by 11.1 per cent, supported by an increase in the manufacture of coke and refined petroleum products which increased by 15.3 per cent, and manufacture of chemicals and chemical products, which rose by 18.7 per cent. Electricity, gas, steam and air-conditioning supply activity also recorded an annual increase in June, with oil activities rising by 7.7 per cent on an annual basis and non-oil activities by 8.6 per cent. The growth comes as the Arab world's largest economy continues to expand amid diversification efforts and a rise in oil production levels. The International Monetary Fund estimates Saudi Arabia's economy to expand by 3.6 per cent in 2025 and 3.9 per cent in 2026, supported by the continued phase-out of Opec production cuts. The kingdom is expected to keep its non-oil growth above 3.5 per cent over the medium term, which mirrors the positive effects led by its Vision 2030 economic programme, the Washington-based lender said. During the second quarter of this year, Saudi economy grew by 3.9 per cent compared to the same period last year amid the expansion of oil and non-oil activities, Gastat said.
