Business / Economy
We will not nationalise mines: Tsvangirai
10 Mar 2011 at 05:44hrs | Views
Zimbabwean Prime Minister Morgan Tsvangirai on Wednesday denied that the government planned to nationalise foreign-owned mines.
Earlier, a senior official aligned to Tsvangirai's coalition partner President Robert Mugabe said the government has resolved to nationalise 51 percent of the key sector to form a sovereign wealth fund to finance development.
Minister of Youths, Empowerment and Indigenisation, Saviour Kasukuwere, made the comments to delegates attending an investment conference in the capital Harare on Wednesday. He and other members of Mugabe's camp have made the suggestions previously too.
"This Friday we are gazetting the minimum threshold for the mining sector. We need the 51 percent (equity) to come into our sovereign wealth fund," Kasukuwere said.
"We are all agreed as a government," he added.
But Tsvangirai's spokesperson Luke Tamborinyoka, denied there had been agreement in the cabinet. "A major decision cannot be taken without the approval of the prime minister," he said.
The formation of a power-sharing government some two years ago has brought about some economic stability, but investors remain jittery over the controversial "indigenisation" policy which Mugabe says is meant to empower black Zimbabweans.
Zimbabwe has minerals such as diamonds, uranium, chrome, platinum and gold.
According to Kasukuwere, earnings from mineral exports in 2010 amounted to $1.7-billion, about 30 percent of Zimbabwe's estimated gross domestic product.
Earlier, a senior official aligned to Tsvangirai's coalition partner President Robert Mugabe said the government has resolved to nationalise 51 percent of the key sector to form a sovereign wealth fund to finance development.
Minister of Youths, Empowerment and Indigenisation, Saviour Kasukuwere, made the comments to delegates attending an investment conference in the capital Harare on Wednesday. He and other members of Mugabe's camp have made the suggestions previously too.
"This Friday we are gazetting the minimum threshold for the mining sector. We need the 51 percent (equity) to come into our sovereign wealth fund," Kasukuwere said.
"We are all agreed as a government," he added.
But Tsvangirai's spokesperson Luke Tamborinyoka, denied there had been agreement in the cabinet. "A major decision cannot be taken without the approval of the prime minister," he said.
The formation of a power-sharing government some two years ago has brought about some economic stability, but investors remain jittery over the controversial "indigenisation" policy which Mugabe says is meant to empower black Zimbabweans.
Zimbabwe has minerals such as diamonds, uranium, chrome, platinum and gold.
According to Kasukuwere, earnings from mineral exports in 2010 amounted to $1.7-billion, about 30 percent of Zimbabwe's estimated gross domestic product.
Source - Byo24News
