Saviour Kasukuwere, Zimbabwe’s Minister of Indigenization and Empowerment, says the country’s government intends to adopt a policy that will allow Zimbabweans to hold 100 percent of all shares in the country’s mining companies.
Kasukuwere’s statements come from a report released by the state media, which claims that the new policy will allow locals to maintain complete ownership and control over the region’s mineral resources.
According to the statement, consultations are currently underway with Zimbabwe’s Ministry of Mines and Mining Development to complete and implement the policy. However, analysts believe that the law could potentially destroy the country’s mining industry.
Eddie Cross, an economist and the MDC-T’s director for police, said that Zimbabwe’s indigenization programs have faltered because the citizens do not have the money to purchase the reserve shares. Impoverished Zimbabwean’s are unable to invest in the nation’s industries.
On Friday, economic analyst Bekithemba Mhlanga spoke to SW Radio Africa, criticizing the new policy.
“What that actually means is that foreign companies cannot come to Zimbabwe and do the exploration because it’s an area that is reserved for Zimbabweans,” Mhlanga said. “Don’t forget that in most cases, the capital, equipment and expertise that you require may have to come from foreign companies and they won’t come.”