adminHarare Bureau
GOVERNMENT is tightening mining revenue monitoring regulations by establishing a special account to consolidate income from companies extracting minerals in the country, a Cabinet minister has said. The account, to be controlled at the highest revenue collection level by Zimra, is envisaged to improve accountability and transparency on income accruing from minerals.
The development, which is in line with the Zimbabwe Agenda for Sustainable Socio-Economic Transformation (Zim Asset), is understood to be a significant step towards securitising the country’s minerals to fund infrastructure projects.
Securitisation is the creation and issuance of tradable securities, such as bonds, which are backed by value of an asset or other solid revenue sources.
Mines and Mining Development Minister Walter Chidhakwa said the paperwork was almost complete to pave way for opening of the account, to be administered by the Zimbabwe Revenue Authority.
Revenue such as mining royalties, licence fees, marketing fees, taxes and dividends will be deposited into the account.
Investigations show that Zimra, the Mines Ministry, Fidelity Printers and the Zimbabwe Mining Development Company are collecting various types of revenues from mining companies for onward submission to Treasury.
derick.khumalo