Zimbabwe Says Social Investments Don’t Count in Empowerment Plan

Mining companies operating in Zimbabwe will not be given so-called “empowerment credits” for social initiatives, Indigenisation and Economic Empowerment Minister Saviour Kasukuwere said.

The government rejected a mining-industry proposal that would see foreign-owned companies get credit toward a local ownership program for building schools, hospitals and roads in the communities where they operate, he said in a phone interview from the capital, Harare, today.

“The issue of empowerment credits is very subjective,” he said. The government plans to publish details of the new regulations for mining companies next week, he added,

“The compliance requirement will be immediate,” Kasukuwere said. “Companies will be required to present detailed plans so we can deal with them on an individual basis.”

To contact the reporter on this story: Nelson Banya in Harare via Accra at ebowers1@bloomberg.net.

To contact the editor responsible for this story: Antony Sguazzin at asguazzin@bloomberg.net.

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