Zambia needs tangible benefits from mines Lungu
THE mining industry in Zambia has not stimulated corresponding growth in other sectors of the economy despite enjoying positive output, President Edgar Lungu has observed. President Lungu said mining must act as a development catalyst in other priority sectors and not as a mere Government source of revenue The President was speaking yesterday in Chambishi when he commissioned the US$ 529million South East Ore Body (SEOB) project of the Non-Ferrous Mining Company of Africa (NFCA). The project is expected to boost the mine’s lifespan by about 24 years and increase employment opportunities from the current 4,000 to 5,000. President Lungu said since the privatisation of the mines in 2000, approximately US$13.3 Billion had been invested in the sector. He added that increased Foreign Direct Investment has resulted in the revival of operations which were nearing closure. “However, it is of great concern to note that despite showing a positive picture, the mining industry has not stimulated corresponding growth in other sectors. “This is mainly because mining has been taken as a mere source of government revenue and not a development catalyst. Be rest assured, that your government, my government, our government is working round the clock to change this situation,’’ He said. To this effect, he said, measures would be implemented to enhance linkages with other sectors and to increase participation of Zambians along the mineral value chain. He said this would be done during the implementation of the Seventh National Development Plan. The President said Government’s focus was now on ensuring that the mining sector contributed to economic diversification and job creation. “I urge all mining houses to start working with government to achieve this objective. Creating an environment for transforming economic potential into tangible benefits is what responsible, working government leaders aim for. At the same occasion, Kalulushi Member of Parliament Kampamba Mulenga said NFCA had given out US$270,000 for the purchase of the 616 ZAFFICO houses in Chati area for sitting tenants. And NFCA Chief Executive Officer Zhang Jin Jun said the project would revitalise the Chambishi Copper Mine and re-cast new glory of NFCA.