By:Ecofinagency

On November 20, 2024, Burkina Faso's Council of Ministers approved the 2023 mining code implementing decrees, completing the regulatory framework designed to maximize mining revenues. 

One significant change introduced by the new decrees is an increase in the state's stake in mining operations from 10% to 15%. Additionally, mining agreements will now be valid for five years instead of the mine’s whole lifespan. This will let authorities review and adjust the terms when needed. Another decree outlines how Burkinabe investors can participate in the capital of mining companies.

Mali, a neighbor of Burkina Faso, is also revising its mining code. Bamako expects to earn an additional CFA500 billion (approximately $793.4 million) from its mine through the amendments.

Mining is a key component of the Burkinabe economy, with gold being the country’s most extracted mineral. According to data from the Extractive Industries Transparency Initiative (EITI), in 2021, mining accounted for 19.25% of government revenue, 14.34% of GDP, and 79.02% of exports.