Chamber Of Mines Proposes 26 % Indigenisation For Locals

In a statement to the media, the Chamber of Mines said they had proposed to the government to cede 26 % of the shares to indigenous Zimbabweans while 25%  will be made from credits arising from corporate social responsibility. New regulations in the mining industry now require that all companies more than one US dollar must be indigenised.

“The Chamber’s own proposals to Government had been for a minimum indigenisation quota of 26 % equity with the balance of 25 % made up of credits arising from corporate quota social investments, support to the small scale mining sector, local procurement ,skills development, release of ground and establishment of new businesses,” the Chamber of Mines said.

“The concept of indigenisation and economic empowerment is accepted and supported by the industry and the industry believes it should be done in a way that will achieve the twin paramount objectives of growth and development of the industry and the Zimbabwe economy and broad based economic empowerment.”

The Chamber of Mines before had said that the mining industry requires huge capital investments which locals cannot raise. The mining group has also said the government must be consistent with its policies to attract foreign direct investments. Initially government had said all the companies that are valued at least US 500,000 must give 51 percent ownership to locals but now every mining company that is worth at least one US dollar must cede 51 percent of its shares to locals.