Mali is preparing to unlock up to 500 billion CFA francs (approximately US$900 million) for major infrastructure projects by leveraging revenues generated from its reformed mining sector, marking a significant step in using the country’s mineral wealth to finance long-term economic development.
Speaking after the inaugural meeting of the Energy, Water and Transport Infrastructure Development Fund, Finance Minister Alousseni Sanou said the fund had already mobilised 109.14 billion CFA francs (around US$193 million) between January 2025 and June 2026.
Established in 2023, the fund is financed through mandatory contributions from mining permit holders. Mining companies contribute 1% of quarterly turnover, while ad valorem taxes are set at 1% during a mine’s first five years, increasing to 2% thereafter. According to Sanou, the mechanism is expected to generate at least 50 billion CFA francs annually, providing a reliable revenue stream that can be used to secure significantly larger infrastructure financing.
The planned investments will focus on critical transport, energy and water infrastructure, including railway development, road construction, water projects, vessel acquisitions and initiatives linked to the state-owned Mali Airlines, according to Infrastructure and Transport Minister Dembele Madina Sissoko.
The initiative follows Mali’s sweeping 2023 mining code reforms, which increased royalty rates and expanded government ownership in mining projects. The reforms have substantially strengthened public revenues from the country’s gold industry, although they also sparked disputes with several international mining companies, including Canadian producer Barrick Mining, over taxation and state participation.
Government officials previously announced that an audit of the mining sector had identified approximately 761 billion CFA francs in alleged unpaid obligations owed by mining companies, reinforcing the government’s drive to maximise returns from its natural resources.
Despite production challenges in 2025, Mali remains Africa’s second-largest gold producer. Industrial gold production is projected to recover to 43.2 metric tonnes in 2026, up from 42.2 tonnes in 2025, according to the country’s mining development plan. Gold continues to account for the majority of Mali’s export earnings and remains one of the government’s most important sources of revenue.
In July, the government also established the Malian Office of Precious Substances to strengthen oversight of artisanal gold mining, improve formalisation and reduce undeclared gold exports.
Mali’s strategy reflects a growing trend across Africa, where resource-rich nations are seeking to channel mining revenues into productive infrastructure rather than relying solely on commodity exports. By investing in transport networks, reliable electricity and improved water infrastructure, the government aims to reduce logistics costs, enhance economic competitiveness and support broader industrial development while ensuring greater value is retained from the country’s mineral resources.