Rédaction Africa Links 24 with Addis Standard2
Published on 2024-03-11 11:53:12
The Amhara Mineral Resources Development Bureau recently revealed that the ongoing conflict between government forces and a non-state militia, Fano, has posed significant challenges to the development and marketing of various mineral resources in the region, including gold. Haile Abebe, the head of the Bureau, highlighted the profound impact of the security crisis over the past six months, emphasizing the disruptive effect on the bureau’s operational plans. This has led to disruptions in mining operations, delays in issuing investment permits, and monitoring the execution of granted permits.
The artisanal miners in the Amhara region, who supplied gold to the National Bank of Ethiopia in the previous fiscal year, have been unable to produce and deliver gold this year due to security challenges. The conflict in the region has also adversely affected opal production in the South Wollo Zone, a major opal producer. This disruption has had significant repercussions on the local economy and the livelihoods of individuals involved in the industry. The region is known for producing a variety of minerals, including opal, amber, jasper, onyx, tourmaline, quartz, and gypsum.
Despite the region’s previous status as the third-largest producer of granite in the country, Haile disclosed that it has lost this status during the current year. The proposed initiative to grant licenses to traditional, small, medium, and large-scale industries has not been executed as initially planned, with only three projects inaugurated out of the intended ten due to security issues. The anticipated creation of 45,000 jobs in the mining sector has also fallen short, reaching only 9,000 positions.
Over the past six months, the bureau aimed to export minerals worth seven million dollars from the region, but the actual achievement was significantly lower at $400,000. The destruction of social and economic institutions in recent months, attributed to the militarized conflict, has led to the loss of property valued at over 15 billion birr, as revealed by the Amhara Regional Government.
The security problem in the region has been identified as the primary cause of these performance issues. The ongoing conflict has disrupted mining operations, delayed investment permits, and hindered the marketing and export of minerals from the region. Despite efforts to boost the mining sector and create job opportunities, the security crisis continues to hamper the region’s mineral resource development and economic growth. Efforts to resolve the conflict and restore stability are crucial to unlocking the full potential of the mineral resources in the Amhara region.
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