Challenges of corporate social responsibility (CSR) in domestic settings: An exploration of mining regulation vis-à-vis CSR in Ghana

Abstract

While some attempts have been made by countries such as Indonesia to make corporate social responsibility (CSR) mandatory, the whole idea everywhere else is benched on the voluntariness and discretion of corporations to pick and choose what would constitute their social responsibility initiatives. But the argument is that for countries with weaker regulation, corporations may not do much in terms of real CSR activities that transcend mere window dressing. This paper examines the domestic institutional dynamics that influence CSR policies and practices in Ghana. It attempts to emphasize the argument that effective domestic regulation and governance can play a role in ensuring sustainable corporate practices and initiatives, leading to a positive impact on the lives of people living in local mining communities. Insight for the paper is drawn from interviews conducted with several stakeholders in Ghana’s mining sector, including government officials and officers of two foreign-owned mining companies (i.e. Newmont Ghana Gold Ltd. and Chirano Gold Mines Ltd.).