Background of the study:
Informal gold mining is a common economic activity in many parts of Nigeria, often serving as a livelihood for rural communities. In Atakumosa West Local Government Area, Osun State, artisanal mining has grown in significance due to its potential to generate income in regions with limited formal employment opportunities (Adedayo, 2023). This sector, characterized by low capital investment and rudimentary extraction methods, contributes to household incomes and local economies. However, informal mining is accompanied by challenges such as environmental degradation, health hazards, and conflicts over resource ownership (Folorunso, 2024). Recent studies have highlighted the dual nature of artisanal mining, where economic benefits are offset by negative externalities that compromise long-term community sustainability (Adekunle, 2025). This appraisal investigates the economic effects of informal gold mining, analyzing its contribution to local wealth creation while scrutinizing the socio-environmental costs that must be managed for sustainable development (Adedayo, 2023).
Statement of the problem:
Informal gold mining in Atakumosa West is fraught with challenges that undermine its economic benefits, including environmental degradation, health risks, and disputes over resource rights. These issues hamper sustainable development and necessitate an evaluation of current practices and regulatory measures (Folorunso, 2024).
Objectives of the study:
Research questions:
Research Hypotheses:
Significance of the study:
This study is significant as it offers critical insights into the economic benefits and challenges of informal gold mining, providing a basis for policy recommendations that balance livelihood needs with environmental sustainability (Ogunyemi, 2023).
Scope and limitations of the study:
The study is limited to informal gold mining in Atakumosa West Local Government Area. It excludes formal mining activities and broader regional economic impacts. Data limitations and environmental factors may restrict the findings.
Definitions of terms:
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