The mining industry faces considerable challenges, including a combination of burgeoning commodity demand, finite existing supply, and rapidly rising commodity prices. Africa offers an area full of potential, but also poses substantial risk to mining companies. Above ground, high levels of political instability and corruption, opaque regulations, and poor enforcement capacity, create uncertainty for an industry that requires long-term investment.

To mitigate above-the-ground risks and effectively compete with sovereign-backed firms, mining companies looking to do business in Africa should take an inclusive approach to development that addresses the needs of not only the companies themselves, but also the relevant governments and communities in which they operate. In this issue of Monitor Perspectives, Andrew Lane and Riccardo Reggio explore how mining companies can identify, develop, and launch inclusive solutions that benefit all stakeholders and help reduce the above-the-ground risks inherent in developing markets such as Africa.

Andrew Lane is a Partner and leader of Monitor’s Mining and Metals practice in Africa. He focuses on globalization strategy, operational turnaround, and sustainability for private listed and parastatal mining companies. Reach him via e-mail at Andrew_Lane AT Monitor DOT com.

Riccardo Reggio, a Partner and leader of Monitor’s Mining and Metals practice in Europe, specializes in corporate business development, investment facilitation, and business integration. Reach him via e-mail at Riccardo_Reggio AT Monitor DOT com.