The Board Chair of Zambia’s mining investment house, ZCCM IH, has identified three main challenges that Africa is grappling following the advent of COVID that have hindered the development of mining, according to an interview with SABC.
The first challenge has been the overarching mining framework. “So the mining and fiscal policies have been inconsistent and unreliable”, said ZCCM IH Board chair Dolika Banda in an interview with SABC in Cape Town South Africa at the Mining Indaba 2022. “That does not set well for a good investment environment“.
The second issue is around energy constraints. “The cost of energy increases the cost of doing business, the cost of investment”. Though the issue is global at the moment, it impacts the investment decision.
The third issue is a weak infrastructure base. “We have an inadequate infrastructure base to support our mining industry”.
“This is leading to reduced capital investment because of no trust between public and private sector with very little exploration activities”.