- Encouraged open dialogue and long-term partnerships
- Introduction by Guinea Senior Minister of Economy and Finance, Kerfalla Yansané
- Presentation by Guinea Minister of Mines, Mohamed Lamine Fofana
- Promoting responsible investment practices and transparency in mining industry
In the lead up to the G8 Summit (17-18 June 2013), the ‘Invest in Guinea’ initiative organised a briefing in London on 12 June 2013 at The Royal Horseguards Hotel to promote the country’s new amended mining code and their role in encouraging transparent trade and long-term win-win partnerships. The objective of the new Mining Code amendments was to strengthen the competitiveness of Guinea in world commodity markets, and align the West African country with international-standard best practices while addressing the concerns of profitability of the investors as well as taking into account the long term economic development and wellbeing of the Guinean communities.
The briefing was opened by Guinean Senior Minister of Economy and Finance, Kerfalla Yansané followed by a detailed presentation of the mining code amendments by Guinea Minister of Mines, Mohamed Lamine Fofana. A series of presentations by Sheila Khama, Director of Extractive Resources Services, ACET for Africa (who also acted as moderator for the event as well as the concluding Q&A session); Thomas Lassourd, Guinea Project Manager, Revenue Watch; Guillaume de Monie, Vice President, Lazard; Kémoko Toure, General Manager, Guinea Bauxite Company (CBG) and Jim Wynn, Head of Finance and Company Secretary, Avocet Mining.
Speaking during his opening remarks, Senior Minister Kerfalla Yansané described Guinea as a paradox, regarded as one of the potentially richest countries in West Africa, yet with no new mining projects in operation in the last 40 years. “Guinea is a country that is naturally endowed with a lot of resources – from agriculture to hydroelectric potential to mining – yet after 30 years of independence is still a poor country,” he remarked. “This poverty is a source of frustration for the people of Guinea, [who are] trapped in a legacy of bad environment and poor policies. This reform is intended to bring about changes and create a vibrant economy and lead Guinea to become an emerging economy in the next 20 years.”
Topics covered during the presentations included Transparency and Governance as well as the Competitiveness and Mining Potential of Guinea. During her presentation on The Conditions of a Successful Partnership between States and Business, Sheila Khama discussed the importance of responsible investment and balancing transparency with assurances to investors:
“It is important that joint venture partners are clear about the rules of engagement. How are we going to manage this joint venture? When we have this discussion whether it is with shareholders, or mining entities, what is the framework around which we have this discussion?
A joint venture requires not only the investor committing, but also certain assurances that are necessary from the perspective of a sovereign state – assurances to investors. It’s important we have mechanisms for balancing long term economic development in the regions of a country with the short term cycles that drive investors. Being aware of how we reconcile this is important to ensure the effectiveness of [such] joint ventures.”
The full list of presentations:
HE Kerfalla YANSANE, Minister of Economy and Finance:
Progress and Reforms Since 2010: Mines, A Lever for Transformation of the Guinean Economy
HE Mohamed Lamine Fofana, Minister of Mines and Geology:
The Key Points of the Code and Amendments
Sheila Khama, Director of Extractive Resources Services, ACET for Africa:
Natural Resources: The Conditions of a Successful Partnership Between States and Business
Thomas Lassourd, Guinea Project Manager, Revenue Watch:
Transparency and Governance in Guinea’s Mining Sector
Guillaume de Monie, Vice President, Lazard:
Competitiveness and Mining Potential of Guinea
Kémoko Toure, General Manager, Guinea Bauxite Company (CBG)
CBG: A Success Story in Development
Jim Wynn, Head of Finance and Company Secretary, Avocet Mining:
A New State-Business Relationship
Notes for Editors
About President Alpha Condé
Alpha Condé is the first democratically elected President of the Republic of Guinea. The first free and democratic presidential elections of 2010 marked an important date in Guinea’s history, allowing the West African country to initiate a democratic transition and begin to stabilise after more than 50 years of authoritarian rule and a military junta.
An historic opposition figure, defender of human rights and freedom, President Alpha Condé was imprisoned and exiled under the authoritarian regimes that have controlled Guinea since its independence from France in 1958. A former President of the Federation of African students in France (FEANF), a Doctor of Law and Professor at the Faculty of Law and Economic Sciences at the Sorbonne (Paris), President Alpha Condé has dedicated his life to establish a pluralistic democracy in Guinea, and to the defence of rights and freedom. Since his election in 2010, Guinea has undertaken a profound transformation. In just two and a half years, President Alpha Condé has successfully reformed the army, strengthened the rule of law, committed a priority fight against corruption and impunity, and restored the freedom of expression, opinion and demonstration.
President Alpha Condé has also implemented a series of reforms to modernise Guinea, boost the economy and improve the living conditions of its citizens. In just two and a half years, Guinea has made significant progress leading to the stabilisation of its economy and to growth (4.8% in 2012; Guinea ranked in Tier 1 of Global growth by JP Morgan). Since 2010, the Government has reduced the deficit from 13% to 2%, reduced external debt, stabilised the currency, reduced inflation from 23% to 13% and significantly increased customs revenues. Priority reforms to strengthen the mining sector and improve the investment climate have also been initiated. The current revitalisation of the mining sector, which was marked by years of stagnation, mismanagement and corruption, is highly strategic for Guinea. The Government’s goal is to transform the mining potential into better living conditions for the people of Guinea.
About Minister Mohamed Lamine Fofana
Mohamed Lamine Fofana was formerly advisor to the Prime Minister of Guinea in charge of the mining sector from 2004 to 2010, before being named Minister of Mines of the Republic of Guinea by President Alpha Condé in January 2011. Prior to this Mr. Fofana was Deputy Director of the Department of Natural Resources and Agriculture for USAID/Guinea (United States Agency for International Development). Other work with USAID/Guinea included Deputy Director of Management Department of Natural Resources and Agriculture and Director of the microfinance programme ‘Integrated Programme for Development of Enterprise’ (PRIDE) as well as Director of the Guarantee Fund for Agricultural Marketing (1996-1998). Mr Fofana was also Director of Project Support for Economic Reform in the Republic of Guinea with USAID/Guinea (1992-1994), and from 1990-1992 was Deputy Commercial Director of SOGEL (Guinean Electricity Company).
About Senior Minister Kerfalla Yansané
Dr Kerfalla Yansané was appointed Minister of Economy and Finance of the Republic of Guinea in February 2010. He was recently promoted to Senior-Minister after having achieved major macroeconomic reforms in Guinea. Before his appointment as Minister of Economy and Finance, he served as the Governor of the Central Bank of Guinea during the period of the structural adjustment program 1985-1996. Thereafter, he worked as a Development Consultant with a number of international institutions, including amongst others the World Bank, the International Monetary Fund, the UNDP, the NEPAD Secretariat, the African Development Bank, UN Economic Commission for Africa, and the African Development Bank. Over the past 15 years, Dr Yansané has been involved in a number of regional and international boards and technical committees, including amongst others: Executive Board, African Capacity Building Foundation, Harare, Zimbabwe (2002-2009); Board of Directors, the International Lawyers and Economists Against Poverty (ILEAP), Toronto, Canada, for the assistance to African and Caribbean countries in the international trade negotiations (2006-2009); Member, United Nations Committee for Development Policy (New York, USA), responsible for reviewing the criteria and the list of the Least Developed Countries (2004-2006); Board of Directors, the International Lawyers and Economists Against Poverty (ILEAP), Toronto, Canada, for the assistance to African and Caribbean countries in the international trade negotiations (2006-2009); Member, the Policy Advisory Group of the Consultative Group to Assist the Poor(CIGAP), through the extension of Micro Finance services (World Bank, Washington DC, USA).
About ‘Invest in Guinea’
The ‘Invest in Guinea’ initiative seeks to foster win-win partnerships and dialogue encouraging economic growth and direct foreign investment in Guinea through a series of briefings and events open to investors, analysts and other interested parties within the business world. By encouraging greater transparency and accountability, under the presidency of Alpha Condé, the mineral-rich West African country has seen a series of reforms, including a reduction in public deficit from 12.6% of GDP in 2010 to 2.5% in 2012, along with a drop in inflation from 21% to 12% in the same years. Adhering to international-standard best practices, ‘Invest in Guinea’ supports long term economic development and sustainability of projects, with the interest of Guinea’s local communities at the forefront. The ‘Invest in Guinea’ initiative was launched at WEF in Davos in January 2013 where President Alpha Condé was invited to promote transparency and win-win partnership, long-term investments to drive national growth and use the huge natural resources wealth to improve Guinean people’s life. In addition to the Mining Code Briefing of 12 June 2013 in London, previous events include a series of trips abroad (including South Africa in February, the USA in March and the UAE in April) to promote the attractiveness of the Guinean economy and its potential in the mining sector, agriculture, energy and infrastructures.
