The Impacts of Mining Industry : A Review of Socio-Economics and Political Impacts (original) (raw)

Journal of Insurance and Financial Management

This paper reviews socioeconomic and political impacts of the extractive industry based on a global literature review. It reveals 27 different impacts (23 socio-economics and 4 political) associated with the industry. The socioeconomic impacts found in literature are: income, employment, livelihood, poverty, exports, training and skills development, community development, service access, land and assets impacts, health, security, gender, safety and accidents, education and literacy, culture, child labor, impacts on tribal people and agriculture. The 4 political impacts are children rights, corruption, human rights and human trafficking. The lack of documented impact data for several operational mines is a crucial issue highlighted in the review. Though it is a requirement for all mining companies to report data, the review reveals that this requirement is hardly adhered to. Inadequate mining monitoring is to be blamed for lack of data and documentation. The paper concludes with the need for more research to evaluate net returns to mining which should be used to determine the level of investment that should go back to the community. The need for comprehensive monitoring and results documentation is also recognised.