By Tatenda Kabuya
HARARE — The Government has approved a major clampdown on mining sector fees and licences, scrapping duplicative charges and streamlining permits under a single authority in a move aimed at reducing the cost of doing business and boosting investor confidence.
The mining sector is targeting a 5.9% growth rate in 2026, with mineral revenues projected to reach US$7.5 billion. The sector is also aiming to produce 60 tonnes of gold from small-scale miners and achieve an overall capacity utilisation of 95%.
During the 13th Cabinet meeting held today, Minister of Information and Publicity, Soda Zhemu, said the new measures align with the country’s growth strategy towards attaining upper middle-income economy status. “The exercise aligns with a July 2025 Cabinet resolution that mandated business reforms across 12 key sectors to improve competitiveness and support economic growth,” said Zhemu.
Over the past year, the Government has been promoting ease of doing business through revisions to the taxation framework in a bid to boost local production.
Under the new framework, unnecessary and unjustifiably high levies have been removed or reduced, while overlapping licences and permits have been consolidated. “More than 80% of existing mining fees deemed reasonable have been retained to safeguard revenue while removing friction points that have slowed project development.”
However, these key reforms also seek to strengthen the country’s external position after March’s trade deficit widened by 59.3% to US$142.8 million. With minerals such as nickel, ferro-chromium, and steel accounting for most export receipts, lowering compliance costs is seen as critical to sustaining foreign currency inflows and attracting fresh capital into exploration and production.
The country’s trade deficit continues to widen due to a sharper increase in import demand compared to export growth, highlighting structural pressures on the external balance.
Cabinet also reviewed broader policy and legal issues affecting the sector. These include the ongoing revision of the Mines and Minerals Act, the development of a new Minerals Development Policy, and the operationalisation of the mining cadastre system.
“The digital cadastre is intended to ensure mining licences are issued, tracked, and managed in a legally binding and transparent manner, addressing long-standing concerns over title security and governance.”
On trade, Cabinet noted a report from Industry and Commerce Minister, Mangaliso Ndlovu, on the 66th edition of the Zimbabwe International Trade Fair. Private sector participation rose to 61% of exhibitors, surpassing government entities at 39%, a signal of growing business engagement despite a challenging operating environment.
