Cash shortages to ease in coming months: President

PRESIDENT Mnangagwa says cash shortages are set to ease in the coming months on the back of increased investment inflows and targeted economic interventions.

These include reforms in the mining sector that will lead to the formalisation of artisanal miners and repealing of laws that criminalise their activities.

For their part, the miners are expected to channel gold produced to Fidelity Refineries to ease the liquidity situation and the economy.

Addressing thousands of supporters at a Zanu-PF rally at Pfupajena Stadium in Chegutu yesterday, President Mnangagwa said mining syndicates would be supported under a US$100 million facility from China.

“On the issue of availability (of cash), I would say going forward we should see the cash situation improving on the back of investments that are coming into the country,” he said.

“Investment leads to the improvement of the cash situation. Our Reserve Bank of Zimbabwe Governor Dr John Mangudya and Finance and Economic Development Minister Patrick Chinamasa will continually increase the portion in cash that is paid. You (artisanal miners) will get a portion in United States Dollars and Bond notes,” the President said.

On the legal side of artisanal mining, President Mnangagwa said there was a Bill in Parliament that should significantly improve the operating environment for artisanal miners.

He said the Great Dyke Investment project in Darwendale should reach production stage in the next two years.

President Mnangagwa said Zimplats was interested in increasing production.

“South African platinum company, Implats chairman Sydney Mufamadi was here today. They are now expanding because the political and economic environment is conducive for business.

“Business is going to grow. We also have Karo Investment which is bringing in $4 billion,” he said.

President Mnangagwa said every province had enough resources to spur development. He urged unity, saying it creates a conducive environment for business.