The Zambia Chamber of Mines says the recently announced Coronavirus measures by the Minister of Finance lack the much-needed tax relief provisions.
In a statement issued to Money FM News, the Chamber said the tax relief measures announced such as the removal of the provisions of Statutory Instrument (SI) 90 and the suspension of import duties on concentrates and export duties on precious metals, are a welcome first step in the broader relief package which is needed, but that these initial measures are yet to be introduced.
It disclosed that over three weeks ago the Chamber submitted a broad three-phase economic plan to Government, to urgently manage the economic impacts arising from the pandemic.

The Chamber said since then, all mining industry stakeholders have been hoping that some significant stimulus measures would be instituted, as is being seen across the world.

“This was with a view to providing some guidance to the government on the critical areas to be urgently addressed. This proposal included, firstly, immediate relief measures that could be implemented by Government in a matter of days, followed by an emergency support package for which financial support could be sought from the IMF and World Bank, and lastly, a ‘fightback’ fiscal regime to be implemented once the COVID-19 pandemic has abated and investment is needed from which to rebuild the economy.”

The Chamber further stated that it considers it essential that the mining industry and government seize control of the negative narrative that has taken on a life of its own against the mining sector.
“As Zambia, with other countries globally, grapples with the debilitating and public health danger of the COVID 19 virus. The mining industry in Zambia recognizes the catastrophic nature of the public health crisis as well as the untold harm this virus will wreak on the Zambian economy,” the Chamber said.
It has urged Government to urgently engage with the sector in order to predict the negative impact that will arise on the health of the Zambian economy if measures are not taken immediately to address the issues facing the mining sector in the midst of COVID-19.