Zim News Blog -NEWS NETWORK

Source: Chrome producers feel the heat | The Herald February 22, 2019

Munyaradzi Musiiwa Midlands Correspondent
Local ferrochrome producers are starting to feel the heat over plummeting global chrome prices that are likely to affect their viability with far reaching implications on the economy.

According to the producers, Global markets for ferrochrome and chrome ore have taken a downturn and 2019 is forecast to have depressed market conditions largely due to some imbalance in supply versus demand as well as uncertainties associated with global trade wars and changing economic dynamics of the key stainless steel producing countries.

The local producers have also accused big international players of suffocating African economies by dropping the prices of chrome so as to frustrate developing countries.

In an interview, Zimbabwe Mining and Smelting Company (Zimasco) General Manager Marketing, Ms Clara Sadomba said depressed market conditions are adversely affecting production at the country’s major ferrochrome and chrome ore producers.

She said Zimasco which is operating at 80 percent capacity is making significant strides in the industry is making frantic efforts to stay afloat in the wake of plummeting global ferrochrome and chrome ore prices.

“Global markets for ferrochrome and chrome ore have taken a downturn and 2019 is forecast to have depressed market conditions largely due to some imbalance in supply versus demand as well as uncertainties associated with global trade wars and changing economic dynamics of the key stainless steel producing countries.

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A FAMILY from Silobela has been plunged into mourning following the mysterious death of one of its members a day after a human head was discovered at their homestead. Things got terrible for the Mguqukas who were still trying to come to terms with a human head that was discovered at their homestead a day […]

Source: Registry to keep credit culture in check | The Herald February 22, 2019

Dr Chipika

Michael Tome and Kudakwashe Mhundwa Business Reporters
About 18 banking institutions and 140 financial institutions have to date registered to be part of the Reserve Bank of Zimbabwe’s Credit Registry, as the apex bank moves to keep the country’s credit culture in check.

The Credit Registry, which went live in 2017, addresses Zimbabwe’s ease of doing business deficiencies relating to getting credit and explores two sets of issues, strength of credit reporting systems and effectiveness of collateral and bankruptcy laws in facilitating lending.

Addressing delegates recently at a Financial Inclusion Forum RBZ deputy governor Dr Jesimeni Chipika said monitoring credit borrowing is an essential tool in keeping the country’s credit culture in check.

“As Credit Registry we are nearly there, it’s the other financial inclusion strategy initiative which we are working on as RBZ, when we are rolling out financial inclusion in the country if we don’t monitor credit behaviour it can introduce instability in the country’s financial sector.

“If people are not paying their loans we can get into problems, so the Credit Registry was introduced and we are happy to say it is being used so far by 18 banking institutions, 143 of our 200 financial institutions are already consulting the credit registry and three non-banking institutions, so the credit registry is doing very well and we are hoping that it will keep our credit culture in check,” said Dr Chipika.

Studies have shown that comprehensive data on consumer credit histories significantly reduces the costs to new lenders and may eventually enable the banking and micro-finance sectors to tap into global capital markets to obtain funds for lending.

The credit registry is part of ease of doing business reforms to improve Zimbabwe’s attractiveness to foreign and domestic investment, reduce cost of doing business, improve performance of public utilities in delivering quality service to the people as well as create value for money in providing services.

The reforms target 10 key global indices for ease of doing business and these are starting a business, getting credit, protecting minority investors, resolving insolvency, paying taxes, enforcing contracts, trading across borders, construction permits, registering property and getting electricity.

Government expects that the ease of doing business reforms help drive Zimbabwe to a higher position on the World Bank’s competitiveness rankings.

Zimbabwe slipped on the global competitiveness by one place to 126 out of 139 countries during the period 2016-2017 due difficult condition for doing business, the Global Competitive Index report showed.

Meanwhile, Dr Chipika said by the end of the year the collateral registry is expected to be operational and will enable the use of movable properties as security for financial credit from banks and other lenders.

“We are hoping that by the end of the year the collateral registry will be operational because now we have other countries that have succeeded to operationalise.

We have somewhere to learn from — we had already started as you know so we are hoping that together with the help of our development partners we should make it operational by the end of this year,” she said.

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Source: Government refuses to meet teachers | Newsday (News)

BY BLESSED MHLANGA

GOVERNMENT has snubbed further salary talks with teachers’ unions, saying it had no plans to directly engage the combative unions.

In a response dated February 18, addressed to the Progressive Teachers’ Union (PTUZ), Civil Service Commission secretary Jonathan Wutawunashe turned down a request by the teachers’ unions to urgently meet government over poor salaries and working conditions.

“The commission acknowledges receipt of your minute dated February 13, which contents are noted, please note that the commission will not be meeting unions/associations directly. You are, therefore, advised to direct your issues to the National Joint Negotiating Forum,” he said.

PTUZ, together with the Zimbabwe Teachers’ Association (Zimta) and four other unions had requested an urgent meeting with the Public Service Commission (PSC) to negotiate salary adjustments in line with inflation and erosion of real time gross settlement and bond notes values.

“We write to remind your honourable office of a meeting between the PSC and the education sector, which was promised during the last meeting of February 10, between ministry and the teachers unions,” the unions wrote.

Teachers recently called off a week-long strike with the hope of engaging the PSC for better salaries, allowances and working conditions.

PTUZ secretary-general, Raymond Majongwe said the response was disrespectful and spiteful, saying a position will only be reached after unions meet.

“We believe it was disrespectful and spiteful for government to back down on promises that they made by hiding behind the law. The law does not stop government from engaging their workers. The law, as designed by the legislator under statutory 141 of 1996, does not bar government from engaging its workers,” he said. In the past, unions have accused the Apex Council of selling out and failing to address teacher-related issues.

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Source: Karo commences platinum exploration | The Herald February 22, 2019

Platinum

Martin Kadzere
Karo Mining Holdings has commenced exploration to delineate the platinum group metals (PGM) resource at its mining concession on Zimbabwe’s mineral rich Great Dyke. Located in Mhondoro-Ngezi mineral belt west of Harare where Zimplats — the country’s largest platinum company — has operations, the integrated US$4,2 billion project will also include a coal mine and a 300 megawatts (MW) solar plant.

On completion, it will be Zimbabwe’s largest integrated platinum mining and refinery operation.

“In the last quarter of 2018, Karo Platinum was awarded a development permit from the EMA (Environmental Management Agency),” said Karo in a statement on Wednesday.

“The development permit enabled Karo Platinum to initiate field work and the exploration drilling programme. The first drilling contractor has mobilised and has completed 72 diamond core boreholes totally over 12 000 metres. The drilling campaign is focused on the western edge of the Great Dyke on the mining location and the boreholes targeting average depths of 50 to 150m below surface.

“A second drilling contractor has recently mobilised on the eastern edge of the Great Dyke.”

Karo said the quality assurance and quality control programme was being carried out concurrently with the drilling programme. The results from the assay work and the metallurgical test work would form the basis of the next phase of the project, which include the continuation of drilling, resource estimation and feasibility studies for mine design, infrastructure and beneficiation plants, it added.

In consultation with the Zimbabwean Electricity Transmission and Distribution Company (ZETDC), it was established that the 300MW of solar generated power would not be able to be fed into a single substation to the national grid. As such, a total of five sites have been identified to receive the solar generated power in 50MW modules.

The first site, closely located to the Karo Platinum project will receive the first 100MW in two modules and ZETDC has commissioned the necessary grid impact studies for the selected sites.

Karo Power, a subsidiary of Karo Holdings has appointed a technical consultant to conduct the feasibility studies and an environmental consultant to submit the environmental prospectus to the EMA and to complete the necessary EIA on all five sites.

Karo Power has had initial engagements with the Zimbabwean Energy Regulator (ZERA) around the power purchase agreement and independent power producer (IPP) licence.

Substantive negotiations regarding the power purchase agreement will commence with ZERA next month. Once finalised, the IPP licence can be applied for.

Tharisa acquired a 26,8 percent shareholding in Karo Mining Holdings, giving it access to a tier one PGM and base metal resource situated on the Great Dyke. The Great Dyke contains the world’s largest known PGM deposits outside of South Africa.

Apart from Zimplats, a unit of Impala Platinum Holdings, Anglo America also has operations on Great Dyke. Great Dyke Investments, a joint venture between Zimbabwe and Russia is also working on developing a platinum mine on the mineral belt in Darwerndale.

Part of the funding will come from Pan-African multilateral financial institution African Export–Import Bank (Afreximbank), while another Pan-African development finance institution Africa Finance Corporation, will also weigh in with additional funding. At least US$3 billion is expected to be spend on the project.

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