President Robert Mugabe on Thursday sought to reassure Zimbabwean mining firms over proposals to give the state a larger ownership share, saying they would not lead to property grabs.
“We are not there to frighten away investors. We are not there even to take away that which is not ours. No. We are there purely to become partners in Zimbabwe,” said Mugabe during a visit to a platinum mine in Ngezi, 160km west of Harare.
The government has said it plans to present to Parliament before July amendments to the mining law that would give the state up to a 51% stake in mines.
Government is consulting with mining companies “to ensure that we come up with enabling legal framework, which will foster stronger partnership between the government and mining houses,” Mugabe said.
But he stressed that the new ownership rules would not apply across the board.
“If you are part of us and part of the environment, you don’t need to fear anything. If you are a localised company, you don’t need to fear anything. If you have carried out the indigenisation policy, you don’t need to fear anything.”
The Chamber of Mines, representing 200 mining houses in Zimbabwe, warned two months ago that the proposed amendments would effectively kill off investment needed to keep the mines open.
Zimbabwe is in the throes of an economic crisis, with inflation topping 1 000% and severe shortages of fuel and food in the Southern African country.
Mugabe said his government was holding talks with Zimplats, partly owned by South Africa’s Implats, over the proposed new ownership rules.
“You are talking to us to ensure that our national and your company goals are addressed in a manner that promotes a win-win situation. Government is always willing to listen to views that are constructive,” he said.
A key pillar of the economy along with agriculture, the mining sector last year accounted for 44% of Zimbabwe’s total foreign-currency revenues, according to Reserve Bank figures.
The sector employs close to 45 000 workers. — AFP