The Southern Africa Resource Watch (SARW) has alleged that the resignation of ZCCM -IH Board Chairperson Dolika Banda suggests lack of transparency and accountability in the running of the country’s mining sector by the government.
The financial conduct authority has temporarily suspended ZCCM IH share listing from the London Metal Exchange in the wake of Ms. Banda’s resignation.
SARW Senior Researcher and Advocacy Officer Edward Lange has said Zambia has found itself in a precarious situation on matters relating to the operation of ZCCM- IH following the resignation of Ms Banda as board chairperson.
Mr. Lange said the country needed to improve its standing at the international stage following the suspension of ZCCM IH share listing from the London stock exchange and the subsequent resignation of the board chairperson.
He said there is a need for the government to allow state enterprises to operate independently without undue influence.
“The country has found itself in a very confused position. Confused position as it looks as if we are in a dilemma on matters that are linked and related to the ZCCM IH which has shares in Konkola Copper Mines and Mopani Copper Mines. As you know the two companies’ operations have been brought to a halt in terms of operations thereby halting the economy of the Copperbelt Province. The same government has been making promises and conflicting statements on KCM and Mopani and now we are compounded by the resignation of the ZCCM IH Board Chairperson which points to the lack of transparency. ZCCM IH has been delisted or suspended by the London Metal Exchange. So all these issues put together you will realise that we need to put together our standing in the eyes of the international players in the mining sector,” Mr. Lange said.
He said the alleged meddling in the affairs of public or private enterprises by the state was tarnishing the name of Zambia’s mining sector.
“This is a very sad situation to the extent that we are viewed as a country that has no values of transparency and accountability. The state owned enterprises are being interfered with in terms of operations by the long arm of Presidency through state house we hear so and now our position is: Can we allow state enterprises to operate independently because if we do professional decisions are going to be made. When professional decisions are made we are going to do away with the current situation we have found ourselves entangle in, especially to do with the Copperbelt. So our appeal to the Government is to leave private entities or state owned enterprises to operate freely and professionally without undue interferences from the mainstream government, This will help the current difficulty situation a lot, this will help improve the economy of the Copperbelt but the image has already been tarnished so we also work on the system that will help to rebuild the image,” Mr. Lange said.
Meanwhile, ZCCM-IH has announced the appointment of Kakenenwa Muyangwa as the new Board Chaiperson following Ms. Banda’s abrupt resignation.
Mr Muyangwa is a mining and financial expert with over 35 years of experience and his appointment is effective May 5th, 2023.
ZCCM-IH Corporate Affairs Manager Loisa Mbatha Kakoma has confirmed that Mr. Muyangwa replaces Ms Banda who worked as non-executive Director and Board Chairperson since December 2021.
Ms. Kakoma says Ms Banda championed Zambia’s mining interests and has left ZCCM-IH in a stronger position for continued growth.
And Mr Muyangwa said he was honoured to have been asked to serve as Chairperson by the Government saying he will pick up from where Ms Banda has left.
In her farewell message, Ms Banda expressed gratitude for being given the opportunity to serve as Board Chairperson saying she greatly believes in the future of ZCCM-IH and that the Company was well positioned to advance Zambia’s economic interest in the mining sector.