Advertisement

Dark
Light
Today: October 23, 2025
October 17, 2025
1 min read

Weak Oversight in Mining Sector Leads to GMD 80 Million Revenue Gap

 

 

By: Fatou Krubally

The 2023 Management Letter of the Auditor General has revealed significant lapses in the management of government revenue from mining and quarrying activities, highlighting weak oversight and underreported earnings.

According to the report, the Department of Geology failed to conduct quarterly price reviews on heavy mineral concentrates, also known as black sand. As a result, the sales price for these minerals has remained unchanged between $125 and $133 per metric tonne since the original agreement in 2017.

Auditors also noted that license files were not provided when requested, making it difficult to verify compliance with agreements. Additionally, there was no evidence that royalty rates used by the department were formally approved, and licensees failed to make payments for training and institutional support, as required under their agreements.

These lapses contributed to an understatement of quarrying royalties totalling GMD 79,949,720 in the financial statements, raising concerns about revenue leakage and transparency in the extractive sector.

The audit also flagged irregularities in budget management. These included unbudgeted expenditures of GMD 12,273,034.83, underutilized budget lines totalling GMD 3,039,628, and a lack of alignment between the National Development Plan and the Medium-Term Expenditure Framework.

Particularly concerning was the disbursement of GMD 32.5 million to suppliers of the Office of the President (OP) without supporting procurement documentation. The funds, initially issued as a soft loan to the OIC, were used to settle vendor payments outside the Integrated Financial Management Information System (IFMIS), with the remaining balance paid to a Security Advice Account controlled by OP.

Auditors urged government ministries and departments to strengthen oversight, enforce compliance with agreements, and ensure transparent reporting of revenue and expenditures. The findings underscore systemic weaknesses in financial management and the urgent need for tighter controls to safeguard public resources.

The post Weak Oversight in Mining Sector Leads to GMD 80 Million Revenue Gap appeared first on .

   By: Fatou Krubally The 2023 Management Letter of the Auditor General has revealed significant lapses in the management of…
The post Weak Oversight in Mining Sector Leads to GMD 80 Million Revenue Gap appeared first on . 

22 Comments

Leave a Reply to energeia Cancel reply

Your email address will not be published.

Previous Story

Gambia Judiciary launches disciplinary panels to strengthen legal ethics

Next Story

ActionAid International Pays Courtesy Call on Vice President at State House

Latest from Blog

KAC To Unveil Waste Disposal Trucks Sunday

 The Kerewan Area Council (KAC) is expected to launch two new waste disposal trucks this Sunday. The trucks will be deployed in Barra and Farafenni with the objective of improving waste management
Go toTop