Socioeconomic impact of gold mining

It has been proven that gold mining has a positive impact on global economies as it offers job opportunities to many in excavation of the gold.

After the excavation, there are still the processes of distribution and export to accomplish. A lot of technology is required for this with a steady demand for skilled employees, which requires training for the workers. The local community is blessed with job opportunities wherever gold is mined.

Gold mining also brings in a lot of positive improvements, not only in the physical and financial areas, but also the social and legal infrastructures. There are many long-term advantages to gold mining. In the whole mining cycle, gold produced on a large scale can impact the economies and societies of developing nations positively.

Economic impact

Gold mining brings in huge tax contributions as part of the tax revenue for the nation in which it is being mined. It also creates jobs in many sectors, such as utilities. Gold production is able to double income from foreign exchange. A lot of revenue is generated wherever gold is mined, not only in the state but also in the community around it.

Hence, it is in the local government’s favor to sustain the gold mining industry by playing an active and vital role. It can hold forums and dialogues to educate the public as well as address the issue of sustainability for gold as faced by the various sectors, such as industry, people buying gold coins and society.

Social impact

The World Gold Council, having researched the effects of gold mining on society, has discovered that there is a need to balance the economic, social and environmental aspects that can be affected by gold production in the short and long terms. These are the challenges that must be addressed to ease the difficulties of the community.

Hence, all gold activities are monitored by the World Gold Council, together with its partners, to ensure a positive contribution towards sustainable development. Research is vital in developing the gold industry so that the correct decisions can be made which, in turn, favor sustainable outcomes which benefit society at large.

The Voluntary Principles established in the year 2000 with regards to security and human rights involved various governments, energy companies and NGOs on human rights. These Principles were developed to provide the safety and security measures to be followed by companies in their operations to ensure respect for human rights. They help to guide companies in identifying human rights as well as the security risks in any gold mining operation. They serve to bring about significant benefits to the society as well as the mining industry.