Zimbabwe Pledges Crackdown on $1.5bn Gold Smuggling
February 13, 22
(IDEX Online) - Zimbabwe has pledged new rules to crack down on gold smuggling, estimated to cost the country $1.5bn a year.
Small-scale miners are exploited by criminal networks which sell the contraband in India, South Africa, and the United Arab Emirates, which reportedly launders most of Zimbabwe's gold.
Winston Chitando (pictured), Zimbabwe's mines minister, and John Mangudya, governor of the Reserve Bank of Zimbabwe, have both promised urgent reforms aimed at increasing inclusivity, transparency and accountability.
Zimbabwe is not a major gold producer in global terms - 26th in 2021 at 33.2 tonnes - but gold accounts for 70 per cent of the country's foreign currency revenue.
The government is proposing incentives for small-scale miners - who currently operate illegally - as well as waivers on import duty for capital equipment and tax exemptions, according to theafricareport.com.