Mining in Colonial Ghana: Extractive Capitalism and Its Social Benefits in Akyem Abuakwa under Nana Ofori Atta I

Historians and economists studying the third world regard mining as one of the major sectors in which the exploitation of resources by European enterprise took place, both with regard to labor use and the alienation of large areas of valuable land for what are now regarded as extremely small sums of money. Not only were these resources misused, but also—so the argument goes—gold rushes in Africa have become conduits through which surpluses generated in the continent are accumulated and transferred to Europe and other areas. In this regard, a gold rush in developing countries should hardly yield any sustainable development dividend, so long as foreign capital remains the dominant player. This article, however, tells a different story. It argues that gold mining in Akyem Abuakwa opened up and brought prosperity in the area. It challenges scholars who doubt the transformative, developmental, and poverty-alleviation roles of the mining industry in Ghana. By providing the basis for an understanding of the impact of mining on the traditional state, it contributes to the economic history of West Africa.