Mining sector expansion and sustainable economic growth in Ghana: the moderating role of institutional quality

Abstract This study investigates the relationship between mining sector expansion, institutional quality, and sustainable development in Ghana using a quantitative cross-sectional design. Data were collected from 200 respondents representing policymakers, miners, economists, and community leaders to ensure broad stakeholder inclusion. The analysis employed multiple linear regression and moderation techniques to assess how institutional quality influences the relationship between mining activities and sustainability outcomes. The findings reveal that while mining significantly contributes to Ghana’s economic progress through job creation, income growth, and infrastructure development, it simultaneously poses major environmental and social challenges. The results further indicate that strong institutional frameworks enhance the positive contributions of mining to economic and social sustainability while mitigating its adverse ecological impacts. The study concludes that institutional quality plays a crucial moderating role in determining whether mining serves as a driver of sustainable development or a source of environmental and social strain. It calls for comprehensive policy reforms to strengthen governance, improve regulatory oversight, and align resource extraction with long-term sustainability objectives in Ghana’s mining sector.

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