Published: 07 March 2018

THE Zvishavane-Mberengwa Miners Association has entered into a partnership with Hammer and Tongues Micro-Finance house, which enables miners to access equipment on concessionary terms.

Modelled along the gold support facility, which is being administered by the central bank, the loan facility enables small scale miners to purchase mining equipment with a payment period of up to 12 months.

Zvishavane-Mberengwa Miners Association chairperson Mr Themba Sibanda said the facility has resulted in miners ramping up production as they now have equipment to mine.

"After appreciating the work we were doing as small scale miners here, Hammer and Tongues approached us and we agreed on this loan facility whereby the miners make a loan application to them. Instead of availing cash, the micro finance house purchases the equipment on behalf of the miner to avoid abuse of funds," he said.

"The payment period is between three to 12 months and we are happy with the arrangement and the interest rate is five percent per month. The facility was launched in February and already the miners have started paying back their first instalments."

Mr Sibanda said the arrangement affords miners an opportunity to own mining equipment, which will see them increase production and graduate to medium scale miners. Last year, small scale miners contributed 53 percent of the 24.8 tonnes of bullion delivered to Fidelity Printers and Refiners, the gold buying unit of the RBZ.
- newsday

You might also want to read this

• Decriminalise gold possession: Miners
• Miners urge Fidelity to review gold price
• Miners say 'use it or lose it' concept spot on
• Miners object EPOs introduction
• Miners feared dead in mine shaft collapse
• Relief for small-scale miners
• 30 000 artisanal miners register to regularise operations
• Formulate environment policy to control small-scale miners
• Small-scale miners receive a major boost
• Small miners seek partnerships