Mining ZimbabweLatest Mining News, Policy and Industry Updates

Zimbabwe’s mining industry is expected to grow by 5.9% in 2026, supported by firm global gold prices and strong performance in key mineral sub-sectors such as iron and steel, coal, and chrome, Mining Zimbabwe can report.

By Ryan Chigoche

According to the 2026 Budget Strategy Paper presented to Parliament by Finance and Investment Promotion Minister Mthuli Ncube, the sector’s resilience is set to continue despite subdued international commodity prices. The projected growth will largely be driven by sustained demand for gold as a safe-haven asset, coupled with improved output across major mineral industries. These developments are expected to boost overall production and further strengthen the sector’s contribution to Zimbabwe’s economic growth.

The outlook for 2026 builds on strong mining sector performance in recent years. In 2024, Zimbabwe’s mining industry exceeded export targets, generating approximately US$5.34 billion, contributing nearly 12% to GDP, and accounting for over 70% of total export earnings.

Gold production reached a record 36.48 tonnes, with artisanal and small-scale miners supplying 65% of deliveries. Platinum group metals (PGMs), chrome, nickel, and lithium also played significant roles, although softer global prices for PGMs and lithium weighed on revenues. Despite these price challenges, overall mineral output grew by 2.3% in 2024.

Looking ahead through 2025, the sector is forecast to grow by 7%, supported by rising mineral exports, increased capacity utilization, and improved employment levels. Official projections expect mineral exports to rise from US$5.5 billion in 2024 to US$6 billion in 2025, while capacity utilization is projected to increase to 90%, up from 84% the previous year.

Building on this positive trajectory, the 2026 Budget Strategy Paper underscores that the anticipated sustained growth of the mining sector will be supported by strategic initiatives focused on local beneficiation and value addition.

By upgrading processing and refining capacities to produce more semi-finished and finished mineral products, the government aims to foster industrial hubs and develop value chains that maximize domestic economic benefits while reducing reliance on raw mineral exports.

“Priority will also be on promoting local value addition and beneficiation through upgrading local processing and refining capacity of minerals into semi-finished and finished products. These policies will support the development of industrial hubs and value chains, maximizing domestic economic benefits and reducing reliance on raw mineral exports,” the Finance Ministry said.

However, despite the promising outlook, the mining sector continues to face significant legislative and regulatory uncertainties. The long-awaited amendments to the Mines and Minerals Act have not yet been fully enacted, creating gaps related to claim security, environmental compliance, and benefit-sharing with local communities.

These unresolved issues, coupled with inconsistent policies on value addition and frequent changes to royalty and tax regimes, have slowed project approvals and made investors cautious, potentially hampering fresh capital inflows and the sector’s ability to reach its full potential.

In response, the government has committed to strengthening the sector’s regulatory framework. The 2026 Budget Strategy Paper highlights intentions to create a clear, consistent, and adaptive legal environment that reduces uncertainty and attracts both domestic and foreign investment. It further commits to streamlining approval processes and aligning regulations across jurisdictions to support responsible mining practices and foster intra-regional collaboration.

“Government will continue to enhance legislative reforms in order to ensure a clear, consistent, and adaptive regulatory framework for the mining sector. This will reduce uncertainty, attract both domestic and foreign investment, and facilitate intra-regional collaboration. Approval processes will be streamlined and regulations aligned across jurisdictions to support responsible mining practices and enable cross-border projects,”

As Zimbabwe’s mining sector navigates challenges and capitalizes on growth opportunities, the government’s focus on regulatory reforms and value addition will be crucial in sustaining momentum.

With supportive policies and a clearer legal framework, the industry is well-positioned to attract investment, boost exports, and drive economic development in the years ahead.

Zimbabwe’s Ministry of Finance and Investment Promotion is currently developing a comprehensive Financial Sector Policy, and Deputy Minister David Kudakwashe Mnangagwa has urged the private sector to actively participate in shaping it, particularly with regard to Environmental, Social, and Governance (ESG) standards. Mining Zimbabwe can report.

By Rudairo Mapuranga

Speaking at the Enviroedge Consulting and Seall Intelligence ESG Reporting Workshop held at the Management Training Bureau (MTB) in Msasa, Harare, under the theme “Advancing ESG Reporting in Zimbabwe: Challenges, Opportunities and the Road Ahead,” Mnangagwa emphasised the need to integrate Zimbabwe’s existing ESG practices into a globally aligned framework that can attract sustainable investment and financial incentives.

“Right now, government, particularly the Ministry of Finance, is developing the financial sector policy. It’s an opportunity for all these ESG aspects to be addressed in a more substantive manner,” he said.

“The private sector needs to be the biggest lobby to make sure the policy is in place,” he added, stressing the importance of bridging the gap between government and business.

Local Standards, Global Access

Mnangagwa argued that Zimbabwe and the wider African continent already have community-rooted approaches to responsible and sustainable practices. However, he noted that these must now be translated into formal policy and reporting structures that align with global ESG frameworks.

“It’s not a matter of just playing to the gallery. We are already doing something, and if there are dividends to be gotten from this, we must organise ourselves as the private sector and government so we can access the available capital.”

Zimbabwean firms seeking capital from global markets are increasingly under pressure to demonstrate ESG compliance, not just in their operations but also through credible, audited reporting. According to Mnangagwa, aligning local efforts with global ESG metrics will not only attract green finance but also reduce the government’s social burden by leveraging corporate social investment.

Incentives and Tax Relief

The Deputy Minister also raised the question of incentivising ESG compliance, suggesting that firms investing in social outcomes should be rewarded through possible tax relief.

“If our industry is ESG compliant, this is a social dividend that the government is supposed to be providing financing for anyway. That’s going to give us relief of 1% of our taxes… but it has to be connected to something,” he explained.

Mnangagwa encouraged the business community to document and present practical models showing how ESG compliance contributes to national development goals, particularly in healthcare, environmental rehabilitation, and community services.

“It needs to be on paper. There are always conflicting needs government wants to collect as much tax as it can for social obligations, but if the private sector is coming in to carry that burden, there needs to be a translation,” he said.

Compliance Must Be Meaningful

Mnangagwa warned against token compliance and called for the creation of a robust ESG ecosystem where government agencies, local policies, and global standards all work in sync to support businesses and create investor confidence.

“When the adjudicators of the ticked boxes come to Zimbabwe, they must have confidence that our policy is being implemented and enforced well, and that your reports actually mean something.”

He also acknowledged that the cost of compliance can be high, not just in fees or systems, but in manpower and operational restructuring. However, he encouraged the private sector to frame ESG not as a burden but as an opportunity to share development responsibilities with the state, particularly in areas where government is overstretched.

Let’s Co-create, Not Dictate

“If you leave it to government without consultation with the private sector, we can come up with a Statutory Instrument tomorrow… but will it be material? That’s why we are here.”

In a significant development for the mining sector, the Global Tailings Management Institute (GTMI) has announced its first-ever multi-stakeholder Board of Directors, a move aimed at advancing safer and more responsible tailings management globally.

By Rudairo Mapuranga

Among the appointed members is Mutuso Dhliwayo, the Executive Director of the Zimbabwe Environmental Law Organisation (ZELO), formerly Zimbabwe Environmental Law Association (ZELA), marking an important representation for Zimbabwe.

Founded through a partnership between the International Council on Mining and Metals (ICMM), the United Nations Environment Programme (UNEP), and the UN-backed Principles for Responsible Investment (PRI), the GTMI is tasked with promoting the adoption and implementation of the Global Industry Standard on Tailings Management (GISTM). The Institute’s vision is bold: ZERO harm to people and the environment, and ZERO tolerance for tailings-related fatalities.

“This appointment is both a recognition of Africa’s voice in global mining governance and a personal honour for Mr. Dhliwayo,” said a ZELO spokesperson. “It reinforces the importance of environmental justice and community-centered mining in international policy spaces.”

The GTMI Board will oversee strategic direction for global tailings governance, promote capacity building, and ensure that the GISTM continues to be adopted by mining companies across the world. It is expected to play a pivotal role in:

• Supporting stronger regulatory frameworks and independent auditing for tailings dams;

• Encouraging community inclusion and transparency in mine waste governance;

• Building technical capacity in developing countries for safer tailings facilities;

• Driving continuous innovation in tailings storage and rehabilitation.

Mutuso Dhliwayo brings years of experience in extractive industry governance, environmental law, and community rights. His leadership at ZELO has seen the organisation become a key voice in shaping Zimbabwe’s mining legislation, especially around environmental impact and benefit-sharing frameworks.

This milestone comes as tailings-related risks are rising globally, particularly in resource-rich but infrastructure-challenged countries. Dhliwayo’s appointment is seen as a strong step toward placing Africa’s mining safety concerns on the global agenda—at a time when the energy transition is driving up production and, in turn, mine waste.

The GTMI was formed in response to devastating tailings disasters like Brumadinho and Samarco in Brazil, which claimed hundreds of lives and triggered calls for a global standard. With the Institute now governed by a diverse Board representing civil society, Indigenous peoples, industry, and investors, its mission for safe, equitable, and sustainable tailings management has gained real momentum.

As the global mining sector prepares for higher mineral demand amid the green energy boom, tailings safety is no longer just a technical issue—it’s a central piece of the Environmental, Social, and Governance (ESG) puzzle. With leaders like Dhliwayo at the table, there’s growing hope that communities affected by mining will not only be protected but also meaningfully involved in shaping a safer future for mining.

Zimbabwe’s new Mines and Minerals Bill, which will soon undergo nationwide consultations before gazetting, has been described as the most comprehensive attempt yet to integrate Environmental, Social, and Governance (ESG) obligations into mining regulation.

By Ryan Chigoche

The draft law not only strengthens environmental protection and social accountability but also ties compliance directly to the preservation of mining rights, something the current Mines and Minerals Act largely ignores.

The Mines and Minerals Bill 2025 was published by the Ministry of Mines and Mining Development in early 2025 as part of Zimbabwe’s effort to modernise its mining legislation. It looks to replace the nearly three-decade-old Mines and Minerals Act [Chapter 21:05], aiming to address emerging challenges in the sector, including environmental protection, community rights, and governance standards, among other important issues to be corrected from the current Act.

In recent times, Environmental, Social, and Governance (ESG) principles have become the global benchmark for sustainable business practices, and with the nature of its operations, the mining sector sits at the core of this shift. ESG frameworks demand that companies minimise environmental harm, build strong and respectful relationships with communities, and maintain transparent, ethical governance.

For mining, this means protecting ecosystems, ensuring fair labour conditions, supporting local development, and being held accountable for decisions that impact people and the planet.

One of the biggest ESG advances in the Bill is the requirement for miners to first acquire a social licence before being granted a full licence to carry out mining operations.

Under the existing Act governing the mining sector, environmental provisions are minimal and fragmented, with much responsibility left to the Environmental Management Act. Mining companies are not required to submit Environmental Impact Assessments (EIA) before registering a title, and there are no explicit obligations for community engagement or benefit-sharing. Complaint mechanisms are weak, and forfeiture of rights is mostly tied to failure to work a claim, not to failure to protect the environment or engage communities.

The new Bill directly addresses these gaps. Clause 154 requires every mining leaseholder and special grant holder to submit a Statutory Environmental Impact Assessment (EIA) and a Social Responsibility Certificate within 30 days of registration. This certificate, issued by a certified third party, confirms that miners are actively engaging surrounding communities, respecting cultural heritage sites, and delivering tangible social and economic benefits such as schools, clinics, and jobs.

Further strengthening this is the Bill’s link between ESG compliance and the preservation of mining rights—perhaps its most transformative change. Under current law, a miner can maintain rights even while damaging the environment, provided they “work the claim.” Under the new Bill, failure to meet EIA, Social Responsibility, or rehabilitation obligations can result in suspension or even forfeiture of mining titles.

This “use it responsibly or lose it” approach mirrors international best practices and sends a clear message that ESG obligations are not optional.

Empowering Communities and Strengthening Accountability

For the first time, communities and local authorities will have formal avenues to hold miners accountable. Clause 155 empowers the Environmental Management Agency (EMA) and Rural District Councils (RDCs) to lodge complaints against miners who breach environmental or social obligations. If breaches are confirmed, the Provincial Mining Director can deny inspection certificates or suspend operations until defaults are remedied.

This is a stark improvement from the current Act, which gives communities little influence over mining operations in their areas. Now, communities can indirectly compel miners to comply, while the Minister retains powers under Clauses 182 and 183 to suspend rights for up to 60 days in environmental emergencies or impose conservation measures such as pollution controls.

An Environmental Fund to Guarantee Rehabilitation

Mine rehabilitation remains a major issue in Zimbabwe, primarily due to the legacy of unregulated mining practices and the financial burden of rehabilitating abandoned sites. This problem is compounded by the lack of comprehensive legislation enforcing mandatory rehabilitation by mining companies, risking long-term environmental damage, including water contamination and soil erosion.

A significant new addition is the Mining Industry Environmental Protection Fund (MIEPF), created under Clauses 180–191. Funded through insurance or a 0.1% gross mineral production levy, the MIEPF ensures that even if a company defaults, resources will be available for environmental rehabilitation, pollution control, and compensation for landholders affected by mining activities.

In contrast, the existing Act has no such fund, leaving communities and the government to deal with the aftermath when miners abandon polluted sites. The new Bill also establishes a multi-stakeholder committee, including EMA, the Ministry of Finance, the Chamber of Mines, and small-scale miners to manage the fund, adding much-needed transparency.

Closing the Governance Gap

Good governance is at the heart of effective ESG performance. It ensures companies are transparent, accountable, and managed with integrity, building trust with investors and communities alike. Without strong governance, even the best environmental and social initiatives can fall short, making it a critical foundation for sustainable business success.

The Bill modernises governance by introducing a digital cadastre for transparent tracking of licences and obligations. It requires independent third-party certification for social responsibility and mandates annual audits of the Environmental Protection Fund. By comparison, the current Act’s oversight structures are heavily centralised and opaque, making it difficult for communities or civil society to track what companies owe or deliver.

If enacted in its current form, the Mines and Minerals Bill will make Zimbabwe a regional leader in embedding ESG into mining law. For communities, it means stronger protections for land and livelihoods, and a louder voice in how mineral wealth is developed. For investors, it signals a more structured and transparent regulatory environment.