Mining firms told to float shares on DSE

Minister of Energy and Minerals, Prof Sospeter Muhongo, yesterday gave a six-month ultimatum to all major mining companies in the country to float their stakes on the Dar es Salaam Stock Exchange (DSE). 

He said all big mining companies must make sure they register and float shares to DSE. The minister has instructed the assistant commissioner of minerals across the country to immediately take appropriate rescue measures whenever accidents occur in mining cites.

He said the commissioner of minerals must respond to the accidents as soon as possible to save lives instead of waiting for the minister’s directives. Prof Muhongo was speaking when he visited victims of a recent accident at RZ goldmine.

Fifteen people were trapped for four days in a collapsed mine in Geita District on January 25, this year. They were all rescued alive four days later. The minister also instructed the assistant commissioners to always conduct inspection in the mining cites to ensure safety.

Prof Muhongo also instructed assistant commissioners of minerals to revoke all mining licences that have been dormant for a long time. He added that the government is setting plans to help small-scale miners to advance and apply modern technology in their daily activities. “The government is looking forward to supporting smallscale miners so that they can improve their businesses,” he said. The mining industry makes a significant contribution to the Tanzanian economy, mainly through the extraction of copper, gold and silver, along with some industrial minerals and gemstones such as diamonds. One of the economic areas that have improved steadily within a ten years period is the mining sector that has completely boost Tanzania’s economic status. Mining is one of the leading sectors in Tanzania, with the value of mineral exports increasing tremendously each year.

Diamonds, gold, nickel and gemstones play a key role in Tanzania’s growing minerals industry. As a result, many potential investors are flooding in the country to open up investments in various fields. The United Kingdom is the largest foreign investor in Tanzania followed by India, China, Kenya, USA, Netherlands, South Africa, Canada, Germany and Oman.

Last year, the National Assembly passed the Finance Bill, 2016, requiring electronic communication companies registered in the country to float their stakes on the Dar es Salaam Stock Exchange (DSE). According to the Finance and Planning Minister, Dr Phillip Mpango, the move aimed at enabling Tanzanians to own shares in listed communication companies.

Dr Mpango explained that the mandatory listing of shares was not a new aspect as it was established in Section 26 of the Electronic and Postal Communication Act, 2010.