Barrick’s Lumwana mine, the second largest copper miner in Zambia has confirmed that they are fully compliant with the the Bank of Zambia – BOZ Export Proceeds Tracking Framework Directives issued in December 2023 as they do not export copper.
The BOZ export tracking framework requires that all exporters in Zambia open bank accounts with a bank or financial institution domiciled in Zambia and deposit all export proceeds to that account within a period of 90 days.
Speaking in an exclusive interview with the Zambian Business Times – ZBT, Lumwana Mine Country Manager Anthony Malenga stated that the mine does not export copper but trades locally through other players that have smelters.
Malenga stated that “Lumwana is in full compliance as we do not export. We produce concentrate sold to smelters locally”. Being the second largest copper producer, Lumwana mine has attracted the attention of analysts as copper exports alone account for over 70% of Zambia’s total annual exports.
The BOZ export proceeds tracking framework directive has brought renewed hope, with analysts and economists projecting that, if well implemented, the Kwacha may post further gains as this balance of payments monitoring tool is expected to bring more transparency and result in more export forex inflows into the country.
The BOZ export tracking framework among other things requires exporters to open and maintain a bank account with a bank or financial institution
domiciled in Zambia and that an exporter shall deposit all proceeds of exports of goods and/or services into this account within ninety (90) days from the date of export.
All exporters in Zambia are required to complete and submit to Zambia Revenue Authority (ZRA), the customs export declaration.
And the banks or financial institutions that receive these export proceeds are required to make a return or report to BOZ through submission of money receipts and remittances report on the electronic Balance of payment (e-BoP) Monitoring System.
The directive has also prescribed adequate penalties for exporters or banks or financial institutions that fail to comply, which include revocation of their tax clearance certificate and TPIN.
By time of publication, ZBT was still actively confirming with companies that run smelters if they are complying with this directive. More details to follow.
For comments, contribution or whistleblowing email: editor@zambianbusinesstimes.com
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