Govt should increase stake in mining - Caritas

Government in Chingola must increase its stake to 40 percent in each of the mining firms’ shareholding structure, says Caritas Zambia Coordinator Eugene Mulenga.

Mr Mulenga said it would be ideal if the other 40 percent remained in the hands of foreign investors while the 20 per cent should be offloaded to members of the public who are indigenous Zambians.

In an interview yesterday Mr Mulenga said if the Government increased its stake in the mining sector, it would ensure that the money generated remained in the country and boost the local economy.

He also appealed to Government to monitor activities in mines that were currently faced with financial and operational challenges.

Mr Mulenga said Government must take a leading role to ensure that the mining sector remained viable as some firms were struggling financially.

“Government should take a leading role in ensuring that the mining sector flourishes,” he said.

Mr Mulenga said Caritas would continue to support and advise Government to put up strategies that would improve the mining sector.

Konkola Copper Mine has been faced with financial challenges, including failure to meet obligations with suppliers and contractors.

The mining firm has however assured Government that it would invest $700 million in the units including the Konkola Deep Mining Project.