El Salvador lawmakers repeal mining ban in win for president By Reuters

SAN SALVADOR (Reuters) – El Salvador’s legislature repealed a seven-year-old ban on mineral mining on Monday, a move called for by President Nayib Bukele to boost economic growth but opposed by environmental groups.

El Salvador became the first country in the world to ban all forms of metal mining in 2017. Bukele, who took office in 2019, called the ban ridiculous.

All 57 of Bukele’s allies in the Central American country’s 60-seat legislature voted in favor of the president’s legislation to repeal the ban.

The legislation gives the Salvadoran government sole authority over mining activities within the country’s land and sea.

“By enacting a law that puts the state at the center, we are ensuring that the well-being of the population is at the heart of the decision-making process,” Representative Elisa Rosales, of Bukele’s New Ideas party, said in a speech to the legislature.

The legislation prohibits the use of mercury in mining, and seeks to declare some areas incompatible with mineral mining as nature reserves.

El Salvador’s economy is expected to grow by 3% this year, according to the International Monetary Fund, but it suffers from a heavy debt burden that reached a level of about 85% of GDP earlier this year.

Bukele, who is widely popular with voters after a crackdown on gangs, has touted the economic potential of mining in the country of about 6 million people.

The president shared on social media last month that studies conducted in just 4% of El Salvadoran territory where mining is possible have identified gold deposits worth about $132 billion, equivalent to about 380% of El Salvador’s GDP.

“This God-given wealth can be responsibly harnessed to bring unprecedented economic and social development to our people,” Bukele wrote at the time.

Dozens of people protested Monday near Congress against the mining reauthorization, arguing that future projects could impact communities and the ecosystem in Central America’s smallest nation.

“We oppose mineral extraction because it has been proven technically and scientifically that mining is not viable in the country,” environmental activist Luis Gonzalez told reporters.

“The level of pollution that would be generated in water, soil and biodiversity is unacceptable for life as we know it.”