Saturday, June 22, 2024

Zambian Academician Warns of Potential PR Stunts in Recently Announced Mining Investment Pledges

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Zambia’s mining sector is facing scrutiny over its reliance on foreign investment, with stakeholders urging the government to ensure that pledges are not simply public relations stunts. President Hakainde Hichilema recently announced that the country had seen a rise in investment from $3.3bn to $5.2bn in the past year, due to various pledges, including a $150m investment by Kobold Metals into the Mingomba mine.

However, Professor Owen Sichone, head of the Independent Centre for Copperbelt Studies, a think tank, has warned of the dangers of not tracking such pledges. He cited previous examples, such as RAMCOZ Mine in Luanshya and Vedanta Mineral Resources, where promises of investment have not been fulfilled. In the case of Vedanta, the company promised to pay $25m, but only did so using proceeds from Zambia’s own copper exports.

Professor Sichone argued that good neo-liberals, like Chile, have refused to privatise CODECO because they recognise that tax-evading private companies do not fund development, while every state needs money for defence, security, education, health, and climate change survival. He added that after 30 years of private sector-led economic growth in Zambia, it is only the state’s obligation to protect citizens, as there is a lack of a social contract between Zambian citizens and private investors or foreign aid workers.

The opposition Leadership Movement (LM) has also raised concerns about Zambia’s reliance on foreign investment. The party’s president, Dr. Richard Silumbe, said that successive governments in Zambia have operated under a colonial mentality and have kept the country stuck with the notion that it needs foreigners and their capital to run the mines, rather than relying on its own human capital.

Dr. Silumbe argued that foreign investors will continue to declare losses while exploiting the country’s resources without benefit to Zambians, and suggested that the country should receive 75% of the profits from mineral proceeds, rather than just taxes. He also recommended that Zambia should consistently audit copper production levels, ensure that all mineral transactions are conducted through the Bank of Zambia, and prioritise local control of assets over foreign-controlled operations.

20 COMMENTS

  1. All mining investors will tell you , the problem was with PF……………….

    Behind the scenes, PF were extorting funds from mining houses to pay their foot soldiers and for campain funds………..

    We now have a serious GRZ where UPND does not reliy on extortion , corruption and GRZ contracts and does not have a cader wage bill running into the millions per month…………

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    • There you go you have not read the whole article and what its about but made a beeline straight to beat your drum for Hakainde!!

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    • TO

      are that dull……..???

      Recent revelations leaked mopane donations to PF………….

      Now if mining houses are donating to the party in power , why should they act responsibily ??

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    • Spaka – Dont be a tool.
      And what makes you think it is not still happening …do you not see that Global Mining companies are now better off under UPND because its giving them relaxed tax policies at the expense of poor Zambians. The UPND also recieved donations from undisclosed external sources…if this govt was serious about it they should make it criminal and ban it.

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    • Ohhh just shut up if you have nothing to write……….

      You now sounding like membe only you are proving thicker than dogs shi.t…………

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    • You are talking about corruption in PF yet turning a blind eye to what is happening today I mean that cadre in GRZ Tabo Kawana a civil servant who has not been a year in office just bought Hilux double cab for his wife straight from the Toyota show room. It costs $60,000; We buying the dollar at k17.91 ngwee Multiply k17.91 × $60,000. It gives us this : K 1,074,600. Where is a civil servant getting that type of money?

    • Spaka – No bank or employer gives you are car loan to go and buy your wife a $60K Double Cab Hilux…how do you think he will make the repayments? You are indeed a clueless Drumbeater …wake up from your docility!!

  2. Leaders who dont have their country and its citizens at heart monsters,thieves who are only worried about filling their pockets while the citizen of the country live in poverty mining in Zambia is a waste of time because it doesnt benefit the indigenous Zambians what a shame bakolwe basekana efipato.

  3. That photo says it all …everyone is wearing masks apart from one chap who is even having a hard time listening our very own dumb Minister of Mines!!

    • Petty complaining again about anything and everything………

      Do you ever stop complaining and moaning ???

      That’s why KZ had you as a target for so long………..

      You post crap if you are not moaning and complaining………….

      I told you to try a happy pill………

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    • I wouldnt careless who has me in his/her cross hairs …the fact that you acknowledge an Impostor and a Troll speaks volumes about you. It was all rosy and wonderful for me to complain about Lazy Lungu and PF now suddenly I am a nuisance …really laughable…I dont blog here to make pen friends or appease anyone.
      Shameless drumbeater!!

    • I firmly support this GRZ, so
      what ???

      I also firmly support this president most things he does and says………..

      So what ???

      Forward 2031………

    • TO

      “….. .. It was all rosy and wonderful for me to complain about Lazy Lungu and PF now suddenly I am a nuisance …really laughable…I dont blog here to make…..”

      That is exactly my point…….

      you complain about everything and anything , nothing is good enough for you…………

      As for me……I back and support this GRZ and president………

      Fimba upoke

      Forward 2031………

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    • The right phrases is that you are a shameless drumbeater and a clueless cadre very big difference between GRZ and UPND. You are no different to those geniune PF cadres who used to post on LT…space us the bollocks!!

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    • TO

      Yes……..

      i am shameless GRZ and UPND supporter…….

      So what ???

      I fully support this GRZ of UPND…………..

      to me , there is no alternative.

      Fimba upoke…

      Forward 2031……….

  4. @ SpaKa
    I fully agree with you
    You have stated your opinion and thats enough for some
    Tarino seems to be on another planet, so what ? Its his right
    This back and forth is becoming annoying
    This LT is full of irrellevant and meaningless blogs as it is

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    • Of course you agree with him….isnt that a surprise…yes Tarino is on another planet, Tarino blows with the wind …blah blah…oh please quit chattering …because he differs with pull you socks up and stop crying like a toddler. I am not going to just sit and just clap will give my opinion whether you like it or not, Next you will be calling me PF…My friend I lived through UNIP, MMD. PF who is UPND? I will respond to any comment whether you cry out loud and throw your toys out of your pram.
      Wake up!!

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  5. Some of us have been supporters of HH from day one………….

    Not because of tribe……iam an easterner BTW………

    But because he was accused of so much corruption yet no one proved anything……….fuuk all has been proved.

    Plus his strong consistent CV…….the man is a proven winner despite all the propaganda against him.

    And thus far , this GRZ lead by HEHH is doing not too shabby…………considering where the country was a few years ago………

    I’d rather throw my full support behind this GRZ to give them a chance, it is after all a 5 year mandate………I see no viable alternative.

    The 2.8 million will be vindicated, without fear or shame.

    Froward 2031……….
    The shameless GRZ supporter of HEHH…….

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