Zimbabwe Miners Federation (ZMF) Mashonaland West chairman Timothy Chizuzu has called for a shift in how financial institutions assess artisanal and small-scale miners (ASM), arguing that conventional collateral requirements are shutting viable mining businesses out of formal finance, Mining Zimbabwe can report.
By Rudairo Mapuranga
Chizuzu made the remarks during a panel discussion on SME financing under the African Continental Free Trade Area (AfCFTA) Protocol on Women and Youth in Trade at the 2026 Africa Prosperity Dialogues in Accra.
He said banks should look beyond immovable property when assessing mining businesses and consider factors directly linked to their productive capacity.
“A miner may have a valid mining title, production history, workers, equipment and a ready market, yet still struggle to access finance because they do not own immovable property,” Chizuzu said.
“We need to move towards productive-capacity financing — where banks also consider production history, cash flow, mining rights, equipment and off-take arrangements.”
The proposal comes as ASM has become a major contributor to Zimbabwe’s gold sector, with small-scale miners delivering 34.87 tonnes of gold to Fidelity Gold Refinery in 2025, accounting for about 74.7% of the 46.7 tonnes delivered to the refinery during the year.
Chizuzu said the scale of the sector justified a different approach to financing, particularly for miners seeking to move from informal or low-capacity operations into sustainable businesses.
“We should not finance artisanal miners merely to remain artisanal; we should help them grow into sustainable mining enterprises,” he said.
Beyond Collateral
Under the proposed approach, a miner’s ability to demonstrate production, generate cash flow and repay a loan would become a more important part of the lending decision.
Chizuzu said mining rights, equipment, production records and off-take agreements could provide financial institutions with a clearer picture of a project’s viability than property ownership alone.
The shift could also support the formalisation and mechanisation of miners, enabling them to increase production and develop businesses capable of participating in larger domestic and regional value chains.
Zimbabwe has introduced several initiatives aimed at expanding access to finance for small businesses and young entrepreneurs, while the government has also maintained the Mining Industry Loan Fund as one of the mechanisms supporting the mining sector.
However, Chizuzu said finance on its own would not resolve the challenges facing ASM.
“Our miners need skills, technology, geological information, environmental management support, formalisation and access to markets,” he said.
His position echoes broader calls within Zimbabwe’s mining sector for financial institutions to assess mining projects according to their productive potential rather than relying predominantly on conventional collateral.
Young Miners Foundation CEO Payne Farai Kupfuwa has similarly argued that young miners should be assessed on the potential of their mining projects and their ability to increase mineral production through access to finance.
Financing for AfCFTA
Chizuzu said improving access to capital was also essential if Zimbabwean mining businesses were to take advantage of the opportunities presented by AfCFTA.
The agreement provides a framework for expanding intra-African trade, but Chizuzu said access to markets would have limited impact if local producers lacked the capital, technology and capacity to increase production and add value.
“It is about building African businesses that are strong enough to compete, add value and trade across the continent,” he said.
For Zimbabwe’s ASM sector, that means using finance not simply to sustain existing operations, but to support formalisation, mechanisation, increased production and value addition.
The challenge for financial institutions, Chizuzu argued, is therefore to develop lending models that recognise the realities of mining while managing the associated risks.
If such models can be developed, Zimbabwe’s large ASM sector could move further from being viewed primarily as a source of livelihoods towards becoming a stronger base of formal mining enterprises capable of supplying domestic processors and competing in African markets.
