Zimbabwe's gold sector performing exceptionally well, but

Zimbabwe's gold sector is experiencing a period of robust growth, yet mining leaders and experts are asking whether the country is fully capitalising on its mineral wealth.

This was the central theme at the Gold Symposium held during the Chamber of Mines of Zimbabwe (CoMZ) Annual Mining Conference, which concluded yesterday in Victoria Falls. The event, facilitated by Kuvimba Mining House (KMH), brought together key stakeholders from the local and international mining community.

CoMZ president Thomas Gono revealed that gold now contributes 43% of Zimbabwe's total mineral exports, up from 27% in 2020, and accounts for 57% of formal employment in the mining sector. More than 1.5 million people are directly or indirectly involved in gold mining nationwide.

"Gold mining continues to be a cornerstone of Zimbabwe's economy," Gono said. "Production rose from 32.4 tonnes in 2023 to 38.5 tonnes this year. Zimbabwe is, by all accounts, a gold mining country."

He noted the significant role gold plays in anchoring the local currency and pointed out that vast areas remain underexplored despite promising geological data.

Guest speaker Joshua Murtoti, immediate past president of the Ghana Chamber of Mines, offered insight from his country's gold mining success. Ghana surpassed South Africa in 2018 to become the continent's top gold producer, generating US$11.6 billion from gold alone in 2024 — nearly matching Zimbabwe's entire mining revenue target of US$12 billion.

Murtoti argued that Zimbabwe could do even more, given its mineral diversity and underexplored territory.

"You already have the footprint to overtake Ghana," he said, calling for political stability and improved global perception to attract foreign investment. "Perception is not always reality, but it shapes decisions."

He identified regulatory uncertainty as a key challenge.

"Investors want predictability. What investment doesn't like is sudden, arbitrary changes to regulations — and unfortunately, that happens far too often," Murtoti warned. "You don't need to copy another country's rules, but you do need clarity."

He also criticised Zimbabwe's 10-day payment delays for gold sales via Fidelity Gold Refinery, contrasting this with Ghana's 48-hour turnaround through the Bank of Ghana.

Murtoti raised concerns over Zimbabwe's unreliable electricity supply, which cost the mining sector an estimated US$500 million in lost revenue in 2024.

"Dirty power - unstable power - is just as bad as no power," he said. Ghana, despite its smaller size, boasts 5,000MW in installed capacity compared to Zimbabwe's 2,700MW. Mining alone in Zimbabwe is expected to consume 800MW, far more than the 600MW currently available.

He urged Zimbabwe to liberalise the power sector and promote independent power producers to ensure steady energy supply.

Gono expressed confidence in the sector's future, citing the government's ambition to reach 100 tonnes of annual gold production.

"This is achievable with the right policy support - particularly reliable electricity and realistic tariffs," he said. "Over 60% of Zimbabwe's gold output comes from artisanal and small-scale miners who often lack basic infrastructure."

He also cautioned against rising operational costs, warning that the sector could face severe strain if global gold prices soften.

"There's a need to develop a marketing framework that reflects the realities on the ground," Gono added.

KMH chief executive Trevor Barnard said the mining conglomerate needs nearly US$1 billion to reach full production capacity, calling for stronger industry and government alignment to support sector growth.

As discussions wrapped up, one message was clear — Zimbabwe's gold sector is shining, but with deeper exploration, regulatory reforms, stable energy, and investor confidence, the country could mine more than just gold — it could mine lasting prosperity.