Bloomberg News

Africa Must Take Control of Minerals, Dlamini-Zuma Says

July 04, 2012

South Africa’s Home Affairs Minister Nkosazana Dlamini-Zuma, who is bidding to lead the African Union, urged African countries to take charge of their mineral wealth to ensure their citizens derive greater benefit.

“We need to take control of our mineral resources,” Dlamini-Zuma said in a speech to the Commonwealth Parliamentary Association in Johannesburg yesterday. “At the moment, the company doing the extraction or beneficiation gets the resources, while the country and its people receive very little.”

Her comments follow a debate within South Africa’s ruling African National Congress over whether to nationalize mines or increase taxes on the industry. The party will make a final decision on mining policy at its national conference in December.

Africa has about 12 percent of the world’s known oil reserves and 40 percent of its gold, resources that should be utilized to attract more investment to the world’s poorest continent, Dlamini-Zuma said.

To contact the reporter on this story: Mike Cohen in Cape Town at mcohen21@bloomberg.net

To contact the editor responsible for this story: Andrew J. Barden at barden@bloomberg.net


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