‘Mining industry to grow by 7pc in 2025’

Business Reporter

THE mining industry is forecast to grow by more than 7 percent this year, driven by strong performances of key minerals like gold and coal, according to the Chamber of Mines Zimbabwe (CoMZ).

Gold output rose by 35 percent during the first three months of the year, while coal grew by 61 percent.

Gold is expected to continue driving exports, with its share increasing to 40 percent from 25 percent, supported by soaring prices on the global market.

Prices of the yellow metal have touched record highs of US$3 000 per ounce this year, buoyed by safe-haven demand amid geopolitical tensions.

Other minerals, which have largely been subdued, are projected to recover in the second half of the year.

Zimbabwe’s mineral revenue is forecast to reach US$6,2 billion this year, up from US$5,9 billion in 2024.

The mining sector accounts for an estimated 90 percent of exports.

Addressing the media ahead of the upcoming 2025 Annual Mining Conference, CoMZ chief executive officer Mr Isaac Kwesu said the performance of coal and gold in the first quarter had raised expectations of growth this year.

“While other minerals were relatively subdued in the first quarter, we anticipate the mining industry to grow by plus or minus 7 percent in 2025, which is a significant number in terms of both volume and value. We have the key minerals such as gold and coal, which performed very well in the first quarter of 2025,” said Mr Kwesu.

“The stellar performance came from gold, which witnessed about 35 percent growth. Coal was also up by as much as 61 percent, which means its weight to the national mining output has also increased, and there is a possibility that we may see coal surging to above double-digit levels, because there is a lot of activity in the coal area.

“Gold is still going to drive overall exports. We have seen gold grow in terms of the concentration ratio to 40 percent, moving from an average of 25 percent. With the price of gold firming, I think, again, we anticipate seeing gold driving the export performance of the mining industry.

“Other minerals were relatively subdued, but we anticipate them to recover, predominantly in the second half of the year. I think this has always been the case.

“So, the overall growth outlook remains positive.”

Economist Mrs Gladys Shumbambiri-Mutsopotsi said the robust growth in gold and coal production was encouraging and underscored the resilience of Zimbabwe’s mining sector.

“A 35 percent increase in gold output alongside a 61 percent surge in coal represents an achievement that will translate into stronger export earnings and economic benefits. However, we must ensure momentum leads to sustainable development, with reinvestment in infrastructure, environmental safeguards, workforce capacity building,” she said.

Diversification, she said, remains critical.

Another economist, Mr Tinevimbo Shava, said the forecast of around 7 percent growth in 2025 reflected the impact of gold and coal’s exceptional first-quarter performances.

“To capitalise on this momentum, policymakers must streamline regulatory frameworks, enhance value addition through beneficiation and invest in infrastructure to support projects. Concurrently, revitalising under-performing minerals with targeted incentives and capacity development will be vital to sustaining sectoral growth,” he said.

CoMZ’s Annual Mining Conference is scheduled for Victoria Falls from May 21 to 24.

The conference will run under the theme “Unlocking Growth Potential for the Zimbabwe Mining Industry”.

It is expected to bring together industry stakeholders, experts and policymakers to discuss critical issues shaping the future of Zimbabwe’s mining sector.

It will feature a range of key events that include a closed-door annual general meeting (AGM) and council meeting.

Day two will mainly be characterised by the Gold Symposium, featuring expert speakers from South Africa, Ghana and Zimbabwe, as well as a PGMs indaba.

These sessions will provide valuable insights and perspectives on the gold sector, Zimbabwe’s single largest source of exports.

The main conference and official opening ceremony will take place on day three, with prominent speakers, including Reserve Bank of Zimbabwe Governor Dr John Mushayavanhu; Finance, Economic Development and Investment Promotion Deputy Minister David Mnangagwa; and Zimbabwe Revenue Authority (Zimra) Commissioner-General Mrs Monica Chinamasa.

The segment is expected to focus on critical topics such as the mining sector’s economic contribution, local content and empowerment, energy and financing solutions, and environmental, social and governance (ESG) issues.

By bringing these topics to the forefront, the conference aims to facilitate meaningful discussions and solutions to drive growth and development in the mining industry.

With optimism surrounding the mining sector’s growth prospects, driven by strong performances in gold and coal, this conference presents a timely opportunity for stakeholders to address challenges, capitalise on opportunities and chart a path towards sustainable growth and economic transformation.