The Reserve Bank of Zimbabwe has reportedly amassed a stockpile of 300,000 carats of diamonds as part of new regulatory measures. According to the state-run Sunday Mail, the bank has required miners to pay 50% of their royalties using commodities. This initiative aims to bolster the country's mineral reserves.
In addition to the diamond stockpile, Zimbabwe's central bank governor, John Mangudya, revealed that the country's gold reserves are estimated to be around 350 kilograms, equivalent to approximately $20 million in US dollars. However, the exact value of the diamond collection remains difficult to determine.
The new regulations, implemented last year, enforce the requirement for miners to contribute half of their royalties to the government in the form of commodities such as diamonds, with the remaining portion paid in cash. Zimbabwe Consolidated Diamond Co Ltd., and Murowa Diamond Ltd., owned by Rio Zim Ltd., are the sole diamond companies currently operating in the country.
Several well-known mining companies, including subsidiaries of Impala Platinum Ltd., Anglo American Platinum Ltd., and Sibanye Gold Ltd., continue to operate in Zimbabwe. Notably, platinum and lithium producers are exempt from the regulation and are permitted to pay their royalties exclusively in cash.
These efforts by Zimbabwe aim to increase the country's mineral reserves and potentially enhance its economic stability. By stockpiling commodities like diamonds, Zimbabwe seeks to strengthen its position in the global marketplace while also building a foundation for long-term economic growth.