Better deal structures can unlock financing for small-scale mining sector – Stanbic Bank

Benjamin Nana Kwesi Mensah, Associate, Mining & Metals, Corporate and Investment Banking at Stanbic Bank, has said access to financing for Ghana’s small-scale mining sector can be significantly improved through stronger deal structures, greater transparency and enhanced governance practices.

Speaking during a panel discussion on investment opportunities in the small-scale mining sector at the West African Mining and Power Exhibition (WAMPEX) 2026, Mr. Mensah highlighted the growing importance of the sector to Ghana’s gold industry while drawing attention to the challenges that continue to limit access to formal financing.

According to him, the small-scale mining industry has become an increasingly important contributor to national gold production, creating jobs, supporting local economies and strengthening foreign exchange earnings. However, despite its growing economic significance, many operators continue to struggle to attract the level of investment needed to expand and modernize their operations.

Mr. Mensah explained that the financing gap is often not the result of a lack of interest from financial institutions but rather the absence of structures that provide lenders with sufficient comfort and visibility. “The conversation around financing small-scale mining is sometimes framed as though there is limited appetite from banks and investors. In many cases, that is not the challenge. The real issue is whether the transaction has been structured in a way that allows financiers to properly assess risk and establish confidence in the business,” he said.

He noted that financial institutions require clear evidence of legal compliance, transparent revenue streams and enforceable commercial arrangements before committing capital.

From a banking perspective, he said, the ability to demonstrate legal ownership of mining concessions, maintain reliable production records and provide traceability of revenues can significantly improve a miner’s chances of accessing funding.

“Financiers need visibility. They need to understand where revenues are coming from, how production is tracked and whether contractual arrangements can be enforced. These are important considerations when evaluating any investment opportunity within the sector,” he stated.

Mr. Mensah further stressed the importance of strong leadership and management structures, explaining that investors often place significant value on the quality and credibility of management teams.

“Capital does not only follow assets; it also follows capable leadership. Investors want to see businesses with management teams that can execute plans, manage risks effectively and demonstrate accountability,” he said.

He also underscored the growing role of environmental, social and governance (ESG) standards in financing decisions, noting that responsible mining practices are becoming increasingly important to lenders and investors alike.

According to him, businesses that integrate ESG considerations into their operations are better positioned to attract long-term funding because they demonstrate a commitment to sustainability, regulatory compliance and stakeholder engagement.

“The sector presents significant opportunities for investment and growth. What often determines whether funding is secured is the quality of the structure behind the opportunity. Businesses that can demonstrate transparency, good governance and strong operational practices are more likely to attract the capital required to grow,” he remarked.

Mr. Mensah encouraged small-scale mining operators to focus on building stronger business foundations and improving operational standards to enhance their investment readiness.

The discussion formed part of broader conversations at WAMPEX 2026 on attracting investment, promoting responsible mining and strengthening the contribution of the extractive sector to economic growth across West Africa.

Industry leaders at the event emphasized the need for collaboration among policymakers, financiers and mining operators to create an enabling environment that supports sustainable investment and responsible resource development.