Uncovering the whys behind the prevalence of galamsey despite regulatory efforts; A principal-agent model analysis

Document Type

Article

Publication Date

2-1-2026

Abstract

Illegal mineral resource mining remains a troubling issue in the Global South. In Ghana, illegal small-scale gold mining commonly known as “galamsey”- a term coined from “gather and sell” has become a major environmental, health, and economic challenge in Ghana. While the current literature is useful in establishing motivating factors for illegal small-scale mining activities, they fail to account for the relationship dynamics between principals and agents, rational choices or incentives, and the misalignment of interests that could be accounting for the proliferation of ‘galamsey’ activities in Ghana. Using the Principal-Agent theory as an analytical framework for the prevalence of galamsey in Ghana, the paper uncovers and provides deeper insights into the prevalence of illegal small-scale mining in Ghana despite regulatory efforts and policy interventions. The paper argues that galamsey persists not because of the absence of policy interventions or regulatory efforts but as a result of misaligned interests and incentives structures, and weak accountability in delegated governance relationships. The paper offers key policy takeaways in realigning incentives to curb illegal mining activities through multilateralization, investment in monitoring and technologies, licensing reforms, refocusing livelihood policies, environmental education campaigns, and stiffer sanctions.

Publication Title

Resources Policy

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