In an unprecedented move, the government has extended the indigenisation law compliance deadline for foreign-owned mining conglomerates to June.
Youth Development, Indigenisation and Economic Empowerment minister Saviour Kasukuwere said the government had realised the initial May 9 deadline had not considered public holidays and weekends.
“We had set the deadline within 45 working days and they are supposed to end by June 2,” he said.
The extension comes as some of the country’s major mining firms beat the deadline by submitting their indigenisation plans to the government to avoid censure.
NewsDay understands that major mining concerns including Rio Zim, Freda Rebecca, Angloplats, Zimplants, Bindura Nickel and Zimasco had submitted their proposals.
Kasukuwere had earlier this week indicated that there would be no further extension to the deadline and that those that have failed to comply with the economic empowerment law risked losing their mining licences or facing prosecution.
But yesterday, Kasukuwere said between April and May, there was a five-day Easter holiday, Independence Day, May 1 Workers’ Day and also Africa Day on May 25.
“All these holidays and weekends in-between had not been considered when the deadline for foreign-owned mining firms was set.”
- Chamisa under fire over US$120K donation
- Mavhunga puts DeMbare into Chibuku quarterfinals
- Pension funds bet on Cabora Bassa oilfields
- Councils defy govt fire tender directive
Keep Reading
He however said the new June 2 deadline was final.
The regulations require that all existing businesses with a threshold of $500 000 should declare their shareholding status to the responsible ministry through a prescribed form. New businesses will also be required to comply.
The regulations’ main objective is to achieve 51% indigenous shareholding in existing businesses, with the owners given a five-year period to comply.
Kasukuwere has repeatedly told stakeholders that the law was not against foreign investment and neither was it designed to scare away investors.
