Call for mining stimulus package

Source: Call for mining stimulus package | Herald (Business)

Ishemunyoro Chingwere Business Reporter

The Parliamentary Portfolio Committee on Mines and Mining Development has made representation to Government for the release of a stimulus package meant to stimulate production and help towards the mining sector achieving the US$12 billion milestone by 2023.

Committee chair Edmond Mkaratigwa said with Government having launched the US$12 billion, which is expected to stimulate economic growth, the next stage was to set aside a stimulus package particularly for local small scale players.

He said treasury can take a cue from its Agriculture financing model and replicate the same or fine tune it and come up with something that can benefit the mining sector.

Government, through Fidelity Printers and Refineries — the exclusive legal gold buyer, already has funding programmes for the gold sector and these have been credited with the rising gold deliveries which are envisaged to top 100 tonnes under the US$12 billion milestone.

“What we are saying here is that Fidelity runs a fund for gold producers which has done extremely well with small scale producers now accounting for more deliveries than their counterparts in the primary sector,” said the Portfolio Committee Chair. “If you go through the US$12 billion milestone, you will see that gold is expected to contribute US$4 billion and chances of this being achieved are very high because all concerned stakeholders are partaking.”