ANC Study Rejects South African Mine Grab, Business Day Says

A report by South Africa’s ruling African National Congress found that the nationalization of mines, as proposed by Julius Malema, head of the party’s youth wing, would be unconstitutional and too expensive, Business Day reported, without saying where it got the information.

The government can’t afford to buy stakes in South Africa’s mines, and it would be against the constitution to seize them, the Johannesburg-based newspaper said. Mining companies should pay more tax and royalties, and there should be more processing of raw materials locally with higher duties on the export of unprocessed minerals, Business Day said.