Harare — Zimbabwe has formally reserved its small-scale and medium-scale gold mining sector for indigenous citizens only, with Mines Minister Polite Kambamura issuing a sweeping policy statement that bars foreign individuals and foreign-controlled entities from holding any mining title, operating, or entering into partnership arrangements in the sector.

In a hard-hitting policy directive released late Friday, Kambamura said the government was “concerned about a lot of unsustainable mechanized, nonstandard mining practices by foreign investors” and rising conflicts between foreign miners, local communities, small-scale miners and farmers.

“Government hereby announces the following policy measures regarding participation in Zimbabwe’s small-scale gold mining sector,” the minister said, declaring the immediate reservation of the sector exclusively for Zimbabwean citizens and wholly citizen-owned entities.

Under the new rules, no foreign individual, foreign-controlled company or foreign beneficial owner may acquire or control any small-scale gold mining title, participate directly or indirectly in operations or management, or enter into tribute, joint venture, syndicate or partnership arrangements intended to confer economic or operational control over reserved activities.

“The Government of the Republic of Zimbabwe, through the leadership and guidance of His Excellency the President Dr. Emmerson Mnangagwa reaffirms that the country’s mineral resources constitute a strategic national asset, whose development and exploitation must advance national economic transformation, broad-based citizen empowerment, sustainable development, and intergenerational equity,” Kambamura said.

Local management quota set at 98%

In a related measure targeting even larger operations, the minister said senior and middle management staff of all gold mines – not just small-scale – must now be constituted of 98% Zimbabweans, with immediate compliance expected.

“To ensure compliancy with the Mines and Minerals Act and all legislation governing the Mining Industry, Senior Management and Middle Management staff of gold mines and all other mines, must be constituted of 98% of Zimbabweans,” said Minister Kambamura. “We expect immediate compliance to this call.”

Definition and transition period

The policy defines small-to-medium scale gold mining as operations producing up to 20 kilograms of gold per month and/or with capital investment of up to US$15 million. Operations exceeding either threshold will be classified under large-scale mining frameworks.

Existing operators have until 01 January 2027 to regularise their operations with the Ministry of Mines and Mining Development. Re-registration will require verification of citizenship and beneficial ownership, disclosure of corporate structures, and confirmation of environmental, tax and labour compliance.

Any mining title not re-registered within the period will be liable for cancellation.

Foreign investors holding gold mining rights may retain them only if they demonstrate production above the small-scale thresholds through verifiable gold deliveries to government-authorised channels.

All gold produced must continue to be marketed through duly authorised channels, with government strengthening monitoring and anti-smuggling measures.

“Any nominee arrangements, proxy ownership structures, undisclosed beneficial ownership arrangements, or other mechanisms intended to circumvent this policy shall be unlawful and subject to cancellation and enforcement action,” Minister Kambamura warned.

The move marks a localisation policy in Zimbabwe’s mining sector since the indigenisation drive of the previous decade, this time targeting the small-scale gold sector – a significant source of national output increasingly dominated by foreign-backed syndicates.