Shaningwa wants end to 10% govt stake in mining

Swapo Secretary General Sophia Shaningwa has called for an end to the meagre 10% government shareholding in Namibia’s mining operations, describing it as a barrier to meaningful national development.During her contribution to the mines ministry’s budget motivation in parliament last week, Shaningwa said the issue of 10% shareholding in any mining sector must end.She added that “10% cannot work for the development of the country”.Shaningwa also expressed frustration with the country’s continued reliance on exporting raw minerals, warning that such a model undermines local economic growth and job creation.She emphasised that Namibia must shift from expending unprocessed resources to a producer with complete control over its mineral value chain. Turn our stones into bread“We should try by all possible means to turn our raw materials, our stones, into bread. The mining sector is one of the major contributors to our GDP. Let it truly benefit our people,” she said.Shaningwa urged the government to empower state-owned enterprises like Epangelo Mining, calling for repositioning it as a flagship for local beneficiation of natural resources. “Let us upstage our own state company, Epangelo Mining, and allow it to participate fully in this sector,” she said, adding that local processing of minerals would boost employment and drive economic self-sufficiency.Review mining policiesDeputy Prime Minister and Minister of Industrialisation, Mines and Energy, Natangue Ithete, welcomed the suggestion, indicating that the country may need to review its mining policies. “If we need to revise our policy, then let’s do it. We’ve received the marching orders from the Head of State. And the Head of State did not speak only to us in this house, she spoke through us to the entire nation. "So the entire country has been given that directive to change the policy. Let’s bring forward proposals and lead this change together so that one day, our children can smile. And when should we start? We should have started already, as early as yesterday. So let’s start now,” he said.Namibia should push for a larger stakePolitical analysts have welcomed Shaningwa’s call to scrap low shareholding stakes in the country’s mining ventures.Political analyst Ndumba Kamwanyah told the Namibian Sun that he believes Namibia should push for a larger stake in mining operations. “A 10% share is too small to benefit the country significantly. A 50/50 model could ensure better returns, more control over resources, and greater impact on development. "Politically, this move may gain public support and boost national pride, but it could also deter some investors who prefer less government involvement. "Economically, if managed well, higher stakes can boost revenue and job creation, but there’s a risk if the government lacks capacity or transparency,” Kamwanyah said.Political analyst Joshua Mario also supported the proposal, saying the current 10% shareholding is inadequate to fulfil the country’s development goals. “As a country, we should be able to negotiate and bargain more effectively, given the advantage we hold with our mineral resources. "The potential and economic implications are normal, just like in any other engagement with partners. Investor interest remains high, and there will always be those with a genuine win-win mindset,” Mario said.According to Mario, Namibia cannot remain confined to the same investors unwilling to empower the nation. Additionally, Mario said, while challenges may arise in areas such as infrastructure development and human capital, these should not be significant obstacles. "We have the capacity. There are skilled Namibians working abroad who can be recalled to serve their country. I strongly believe the shareholding should be increased, as it carries long-term benefits for the nation,” Mario added.nikanor@nmh-hub.com.na

Shaningwa wants end to 10% govt stake in mining

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Namibian Sun 2025-07-01

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Shaningwa wants end to 10% govt stake in mining

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Namibian Sun 2025-07-01

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