The Zambia Chamber of Mines has urged Government to urgently engage with the sector in order to forestall the negative impact that will be inflicted on the health of the Zambian economy.
The mining chamber say that if measures are not taken immediately to address the issues facing the mining sector in the midst of COVID-19, Zambia will be adversely affected as mining is a key component of Zambia’s economy.
The Chamber of mines told the Zambian Business Times – ZBT that they had over three weeks ago submitted to the mines ministry, a broad based three-phase proposed economic plan to urgently manage the economic impact arising from the pandemic with a view to providing some on the ground industry view and guidance to government on the critical areas to be urgently addressed.
The proposal included immediate relief measures that could be implemented by Government in a matter of days, followed by an emergency support package for which financial support could be sought from multilateral lenders such as the IMF and World Bank, and lastly, a ‘fight back’ fiscal proposal to be implemented once the COVID-19 pandemic has abated and investment is needed from which to rebuild the economy.
But the Chamber of mines has indicated that since submissions were made, all mining industry stakeholders have been hoping that some significant stimulus measures would be instituted as the industry’s circumstances have become more desperate with issues being faced at Mopani Copper Mines being an example of this distress.
In an earlier statement made available to the Zambian Business Times – ZBT on April 22, 2020, the Chamber of Mines considers it essential that the industry and government seize control of the negative narrative that has taken on a life of its own against the mining sector.
The Chambers membership has pledged to support government efforts in its engagements with multilateral institutions to obtain assistance firstly in the fight against the epidemic and secondly for the support of economic recovery.
“The mining industry in Zambia recognizes the catastrophic nature of the public health crisis as well as the untold harm this virus will wreak and is wreaking on the Zambian economy. Several mining companies have rushed to Government’s aid to demonstrate their solidarity with the Government and people of Zambia through various interventions. This is in recognition of the urgency and need to stand shoulder to shoulder with the mines host communities at this very trying time,” Chamber of Mines. `
