September 2007, Synergy Global Consulting Ltd.
Guinea has major deposits of bauxite, gold, and iron ore as well as deposits of diamonds and the potential for production of alumina and smelting of aluminium. The mining industry plays an important role in the socio-economic development of the country. Mining is the most important export commodity and source of revenues for the government, and agreements signed recently are likely to involve billions of dollars and consolidate the sector’s position as the main source of foreign direct investment. Despitethese opportunities, the challenge facing countries rich in natural resources in terms of community development and equitable distribution of resources should not be underestimated. In many countries,the track record of extractive industry development has not always been associated with successful national and local development.
Synergy was invited by the World Bank Group to review the effectiveness of community development initiatives undertaken by the mining sector in Guinea and develop a framework, which would establish a common approach to supporting the role of the mining sector in community development.
Harnessing the opportunities that the mining sector can bring to community development is not an easy task, and not one that can be completed quickly. Within a limited time frame the activities of seven mining operations and two projects at the pre-operational phase were reviewed and lessons drawn from these experiences as well as from other community development and poverty reduction programmes in Guinea. Examples of good practice approaches to community development in the extractive industry in other countries have also been considered. This report and the framework presented are intended as a first step in establishing a new approach to community development and are dependent on the participation and commitment of all players.
