Ghana’s economic gains from gold and oil could face challenges due to the ongoing US-Israel-Iran conflict, according to Constitutional Rights and Policy Strategy Advisor at Democracy Hub, Oliver Barker-Vormawor.
Speaking on JoyNews’ Newsfile on Saturday, Barker-Vormawor said Ghana’s direct trade with Iran or Israel is limited, but the regional instability could disrupt critical export routes.
“Much of Ghana’s small-scale gold production, which now contributes about 32% of all gold produced, is refined in Dubai,” he explained.
“With the conflict affecting the Middle East, our ability to route gold through Dubai may be impacted unless alternative channels, like India, are used.”
He noted that Ghana has earned roughly $10 billion from gold exports, and while gold prices are unlikely to fall, the challenge will be in moving and monetising the gold during the conflict.
Barker-Vormawor also raised concerns about oil. With the United Arab Emirates, a key hub for gold and oil logistics, affected by regional tensions, Ghana may need to consider emergency measures at the Tema Oil Refinery to secure domestic supply and prevent price fluctuations.
“Economic advisors would likely recommend ways to mitigate these risks,” he said. “But ultimately, everybody hopes the conflict ends soon so that relief can be brought to Ghana’s trade and revenue systems.”
Mr Barker-Vormawor emphasised that careful planning and alternative trade strategies are crucial to safeguard Ghana’s economic stability in the coming months.
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