STAFF REPORTER

Government is optimistic that the mining sector will reach the ambitious target of US$12 billion this year following measures the administration  put in place to improve the operating environment of the small-scale miners.

The administration is also counting on several mining initiatives that big mining houses across the country launched this year. While addressing  miners  recently in Gweru, President Emmerson Mnangagwa said the  small-scale miners   were the driving force  behind Zimbabwe’s economic development.

He declared that his administration would make every effort to assist them and enhance their working conditions because they are essential to achieving the sector’s goal.

In the quest to attain a US$12 billion mining industry, President Mnangagwa said all bottlenecks  that include legislation gaps  that impede the work of small-scale miners  would be addressed  as the country moves towards modernization  and industrialization  using various instruments.

“Small scale miners are at the center of the economy. Statistic have shown that you contribute more than 60% of the revenue in the mining sector,” President Mnangagwa said.

The Minister of Mines and Mining Development, Winston Chitando weighed in saying: “There are many projects which will this year contribute meaningfully towards the target set.”

It comes after government in 2019 set an ambitious target to grow revenue  from the mining sector to US$12 billion  by the end of this year.

The mining sector last year earned close to US$6 billion compared to US$2.7 billion generated in 2017. The sharp increase is attributed to policies implemented by government to improve the sector. The mining sector accounts  for over  60% of Zimbabwe’s annual foreign currency receipts and 13% of gross domestic product.

However, the sector has been negatively affected by power challenges.

The situation has, however, improved after successful synchronization of the Hwange unit 7 and 8 to the national grid.

Zimbabwe’s small-scale miners have also expressed disquiet over  exorbitant levies charged by local authorities amid  revelations they are making it difficult  for them to sustain operations. Government has identified mining sector as one of the  key pillars to help quickly underpin Zimbabwe’s economic turnaround.