Mining communities losing out on benefits of resources extracted from their areas

SUKOLUHLE NDLOVU

Due to its importance to the national economy, mining revenues and ownership are a regular source of contention in the country and in some cases have been linked to illicit movement of funds through porous borders prejudicing the country of billions of dollars.

Speaking in parliament in March this year, former Finance minister Tendai Biti said the country is losing over US$2 billion annually in illicit financial flows and that mining companies are the “major culprits”.

“We have got 65 minerals, but they are not benefiting our country. Most of the mining model in Zimbabwe is extractive. You come in, you loot and you get out leaving total destruction, unemployment and so forth.”

His comments came as a documentary ‘The Gold Rush’ broadcast on Al-Jazeera drew more attention to the risks.

A Zhombe parliamentary candidate for Citizen’s Coalition for Change, Judah Ntini, has as a result called for policy that forces a percentage of mining proceeds to be retained in the local community.

“Mining Communities are losing out on benefits of resources being extracted from their areas, thus such a policy is needed. The retained percentage from mining should go towards infrastructure development,” he said.

Rachel Jambo, a field officer at Centre for Natural Resources Governance, said disputes between mining firms and communities have arisen as a result of underdevelopment in mining areas caused by opacity around mine ownership.

“Communities should be educated about their right to access of information concerning ownership of mines in their localities. This will enable communities to benefit from mining activities happening in their vicinity.”

A resource governance expert Fambai Ngirande believes that lack of capacity in institutions and communities is promoting illicit financial leakages.

“Institutional limitations and lack of capacity are some of the factors promoting illicit financial flows. There is therefore need for capacitating of these institutions so that they can effectively fight financial leakages and corruption”.

Recently, Parliamentary Portfolio Committee on Mines and Mining Development Chairperson Edmund was quoted saying transparency in the mining sector is necessary for US$12 billion mining economy to be achieved.

“When you partner government, you’re also partnering the communities, and accountability and transparency are the packages that goes around with everything needed to achieve this target. This is why l was saying the law enforcement agents should also assist in making sure we plug any leakages that may actually impede us from getting to where we want to be.”

Due to its aggressive nature, the mining industry in Zimbabwe has always been dominated by men. Women have been relegated to the margins since it has long been perceived as a men’s domain.

But with time, things have altered. Recently, many women have discovered themselves venturing into this traditionally male-dominated industry. Despite the difficulties they are having, such as the violence brought on by turf fights.

Women are now brave enough to occupy positions in the mining industry, according to Martha Moyo, a female artisanal miner and the chairperson of Silobela Women in Mining, and more women are anticipated to continue delving into mining.

“The mining sector is still male dominated but we’ve seen quite a number of women joining mining. There’re various challenges that might push women away but we’re learning how to negotiate around such challenges,” she said.

We have been getting trainings by various organizations on how we can register our mining claims and all the other necessary documentation required. We have engaged with various organizations like Transparency International Zimbabwe, Centre for Natural Resources Governance, ministry of mines amongst other organizations,” said Moyo.

She said being in the mining sector has helped them to fight gender inequality and to fight poverty by providing for their families.

According to the 2022 Zimbabwe Vulnerability Assessment Committee report, about 30% of Zimbabweans are food insecure and they are in urgent need of food aid.

The report also states that Midlands Province recorded a stunted growth rate of 24.5% due to malnutrition.

For Moyo though her involvement in the mining sector has been positive, she still believes more needs to be done to curb illicit flow of minerals so that local communities can also benefit.

“ We have found empowerment that has enabled us to fight gender equality as we are now able to make a living and also have mines. However, we need laws that prioritize women in mining as well as mining communities so that they do not lag behind”.

Rachel Jambo from the Centre for Natural Resources Governance also believes there is a need for multi-sectoral approach in fighting illicit practices which are prejudicing citizens.

“Stakeholders should join forces to curb illicit financial outflows that are bleeding the country billions of dollars which have resulted in communities being underdeveloped for years. New innovations are needed to effectively fight illicit financial outflows.”

“This story was produced by Sukoluhle Ndlovu. It was written as part of Wealth of Nations, a media skills development programme run by the Thomson Reuters Foundation. More information at www.wealth-of-nations.org. The content is the sole responsibility of the author and the publisher.”