Mining, agriculture to spur economic growth – President

by | Oct 8, 2021 | Business | 0 comments


Hosia Mviringi


The Zimbabwean economy is this year expected to grow at a remarkably accelerated rate of above 7.8 per cent on the back of improved earnings in mining, agricultural output and manufacturing.


This was said by President Emmerson Mnangagwa yesterday at State House, while delivering his State of the Nation Address.

The address also marked the official opening of the Fourth Session of the 9th Parliament of Zimbabwe.


“The mining sector is this year expected to grow by 11 per cent as a result if robust programmes which encompass increased exploration and expansion projects, resuscitation of closed mines and reopening of new ventures as well as mineral beneficiaries and value addition,” said President Mnangagwa.


Government has put in place mechanisms to curb leakages of the precious metals through illicit trade.


Small scale miners have been fingered in the past as being responsible for the leakages, but they have of late heeded government’s call and the subsector has become the biggest contributor to mining growth.


The Second Republic has actualised the ‘Open for Business’ mantra and this has seen massive investor interest in exploration and beneficiation of local resources.


Exploration work is under way in Muzarabani for oil and gas. The project by Australian registered Invictus Energy is sure to become a real game changer in the country’s energy matrix.


Deliberate policies have been put in place to encourage mineral beneficiation so that the country derives maximum value from it’s natural endowments.


Big Platinum and Chromium miners have over the years invested in state of the art smelting infrastructure which ensures that maximum value is derived in form of Platinum Group Metals such as gold and copper.


Statistics show that gold deliveries to the Reserve Bank of Zimbabwe have surged by almost 100 percent to 3000 kg in September 2021 as compared to the same period in 2020 with firming international commodity price working in the country’s favour.


The Government has put in place an elaborate plan to revive the mining sector such that the industry is on course to attain the US$12 billion sector economy by 2030.


Heightened agriculture productivity in such crops as the staple maize and tobacco has contributed significantly to stabilisation of the local currency and the broader economy through import substitution for maize and foreign currency earning for tobacco.


This year Zimbabwe managed to increase its strategic grain reserves to 1.5million tonnes while tobacco has so far racked in more than US$589.6 million in exports.


“This year, our cumulative tobacco sales exceeded 210.9 million kg, with export earnings surpassing US$589.6 million. Cotton output also increased by 100 per cent to 92 000 tonnes. Investments yo facilitate value addition of these strategic crops are being sought,” said the President.


Mining and industrial capacity growth has seen increased demand for power and thus the government has prioritised completion and commissioning of key power generating projects such as the Hwange Unit 7&8 within set timeframes.

President Mnangagwa urged Industrialists to broaden their research and development towards increasing the range and variety of ‘Made in Zimbabwe’ products.


He also implored citizens to prioritise locally produced goods so as to support the economy.