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Analysis

Critical Minerals and the G20 Johannesburg Summit: Mission Critical

Lida Preym, G20 Research Group
January 17, 2026

As the global economic tides shift, critical minerals are on everyone's mind. Who has them? Who needs them? And how do we get them into the technologies and products that will fuel greener global economic growth?

They are so important, in fact, that the issue was included in the agenda on the second day of the G20 South Africa Summit in November 2025, which endorsed the creation of the G20 Critical Minerals Framework (yet to be released at time of writing). The framework is a voluntary, non-binding blueprint to ensure that critical mineral resources drive prosperity and sustainable development.

Key to the discussion is that many developing countries are rich in resources. They have critical minerals in the ground and many of them are currently mining them. The problem lies in that many of these countries only have facilities to take these minerals out of the ground: they export the raw material to countries with processing and refining facilities, and these raw materials come back to the developing countries in the form of products that the population can scarcely afford. Beneficiation of these critical minerals at source was the overarching topic for the G20 leaders, as that will lead to inclusive growth and resilient supply chains that can withstand geopolitical tensions.

As an example, if South Africa processes its minerals that are found in abundance, such as copper, cobalt and manganese, not only could it secure the materials needed for the energy, digital and industrial transition, but it could also find new sources of wealth for the country and its people. Exporting raw materials is a low-value source of revenue, both for the companies involved and, more importantly, for the government treasury. Refineries would export processed material for the goods that contain them, with a considerably magnified tax revenue for the government. More tax revenue means more money for communities, whether they be newly formed around the new plants, or the every-day citizens who currently live below the poverty line (of whom, in Africa, there are 400 million people). South Africa and the other countries on the continent could become more self-reliant instead of depending on outside investment and aid.

This seems like a simple solution. However, 600 million people in Africa do not have access to electricity. This is due to inadequate transmission infrastructure. If a country cannot transmit power to its rural areas, how will it supply a new processing facility with the energy it needs for its operations? How will people get to the facility to do their jobs? Building energy infrastructure takes a sizeable amount of capital, as does the water infrastructure that is similarly critical for mining projects. But, unlike resources, capital is not something most countries have in abundance.

What is needed is the creation of healthy and thriving ecosystems based on multi-sector and multi-stakeholder partnerships. Viewed holistically, these projects are too large for one single actor. Simultaneously, it is also possible to build new green industrial clusters where they currently do not exist. But a multi-faceted plan with innovative technology is needed, and must start with extraction and end at the point of manufacturing.

Blended finance is one way to make this happen, but it has yet to happen at scale. This is where the public sector can come in, along with multilateral development banks, insurance companies, the private sector and, getting a seat at the table for the first time this year at the B20, philanthropic organizations. De-risking these projects is everything to the private sector, and the best way to do that is through collaboration. Local financial institutions and governments need to show their commitment by taking an ownership stake by providing capital and ensuring that the rule of law is adhered to and implemented where it is lacking.

For resource-rich developing countries, everything will boil down to the map detailed in the G20 Critical Minerals Framework and whether countries will implement it, or simply take the voluntary, non-binding route. The time for deliberate action is truly mission critical.

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This page was last updated January 17, 2026

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