The revised mining bill proposed by Mozambique’s National Mining Institute (INAMI) marks a pivotal shift in resource governance. At its core lies a mandate to channel 10 percent of mining revenues to provincial, district, and community development in extraction zones. This measure responds to longstanding demands for equitable benefit-sharing but has ignited fierce debate.
Fatima Mimbire of NGO N’weti argues 10 percent is minimal, advocating instead for 50–70 redistribution split as 40 percent to provinces and 20 percent to districts to reflect the royal tax principle granting communities rightful stakes in their resources.
However, critics warn that revenue sharing alone cannot guarantee equitable development. Mimbire emphasizes that community representation in fund management committees is essential to prevent misuse by local elites.
The bill’s silence on specific governance mechanisms remains a gap, though its anti–money laundering provisions signal broader transparency goals. Without enforceable accountability, even increased percentages risk perpetuating historical inequities.
Beyond revenue sharing, the bill proposes splitting INAMI into two entities, a mining promotion agency to attract investment and a mining regulatory authority for licensing and oversight.
This aims to streamline bureaucracy and resolve conflicts of interest. However, legal expert Rodrigo Rocha cautions that unclear mandates could create institutional overlap, undermining efficiency, citing that success hinges on precise operational frameworks.
Meanwhile the reforms align with the country’s five-year plan and National Development Strategy, prioritizing domestic mineral processing with a new target mandate of 30 percent of minerals processed locally by 2030 to boost industrialization.
In addition, enhanced local content requirements for foreign miners to partner with Mozambican firms and prioritize local procurement.
As Mozambique positions itself as a critical minerals’ hub, this bill represents a nuanced, if contested, step toward resource sovereignty. The ongoing public consultation offers a chance to address gaps, particularly in accountability mechanisms.
If implemented cohesively, these reforms could transform mining from an extractive endeavor into a catalyst for inclusive development.
