Zimbabwe to Seize Foreign-Owned Mines Without Paying for Them But Will Compensate Banks

robert mugabe 300x198 Zimbabwe to Seize Foreign Owned Mines Without Paying for Them But Will Compensate Banks

Zimbabwe to Seize Foreign-Owned Mines Without Paying for Them But Will Compensate Banks (Flickr)

Zimbabwe to seize foreign-owned mines without paying for them following President Robert Mugabe questionable win in recent elections. Bloomberg reports the Mugabe government plans to seize the mines as part of a program to accumulate $7 billion of assets, Saviour Kasukuwere, the minister charged with forcing foreign companies to cede 51 percent of their assets to black investors or the government.

“When it comes to natural resources, Zimbabwe will not pay for her resources,” Kasukuwere said. “If they don’t want to follow the law that’s their problem.” Non-compliant mine owners risk losing their licenses, he said.

Anglo American Platinum Ltd. (AMS), Impala Platinum Holdings Ltd. (IMP), Barclays Plc (BARC) and Standard Chartered Plc (STAN) are among companies that operate in the country. Other industries may have to yield smaller stakes to black owners, Kasukuwere said. Metals and minerals, including platinum and gold, accounted for 71 percent, or $719.9 million, in exports in the first four months of this year, the state-controlled Herald newspaper said, citing the finance ministry.

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 Zimbabwe to Seize Foreign Owned Mines Without Paying for Them But Will Compensate Banks
Janet Shan is a freelance journalist, blogger and social media consultant. Janet specializes in political and social commentary, as well as business writing. She is the founder and managing editor of the Hinterland Gazette. She is putting the finishing touches on her new novel, a mystery based in the hills on Montego Bay, Jamaica.