{"id":21245,"date":"2025-12-17T15:13:15","date_gmt":"2025-12-17T13:13:15","guid":{"rendered":"http:\/\/jhb-webdevelopers\/channelafrica\/news\/zimbabwe-scraps-gold-royalty-hike-sets-higher-threshold-for-windfall-tax\/"},"modified":"2026-02-27T16:32:22","modified_gmt":"2026-02-27T14:32:22","slug":"zimbabwe-scraps-gold-royalty-hike-sets-higher-threshold-for-windfall-tax","status":"publish","type":"news","link":"https:\/\/www.channelafrica.co.za\/channelafrica\/news\/zimbabwe-scraps-gold-royalty-hike-sets-higher-threshold-for-windfall-tax\/","title":{"rendered":"Zimbabwe scraps gold royalty hike, sets higher threshold for windfall tax"},"content":{"rendered":"<div><\/div>\n<div>\n<p class=\"x_MsoNormal\">Zimbabwe has reversed plans to double its gold royalty rate to 10%, a new 2026 budget bill showed on Wednesday, following protests by miners and industry groups.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">A royalty rate of 5% would continue to apply for gold prices between $1200 and $5000 per ounce, according to the revised budget bill, which was approved by Zimbabwe&#8217;s lower parliament chamber in the early hours of Wednesday following lengthy debate.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">In his budget speech last month, Finance Minister Mthuli Ncube had proposed doubling the gold royalty rate to 10% for gold sold above $2 501 an ounce.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">During the late-night budget debate, however, he told lawmakers that a 10% royalty rate would now only apply if the bullion price topped $5000 an ounce.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">Small-scale miners would continue to pay lower royalty rates of up to 2%, he added.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">Large scale miners such as Caledonia Mining Plc have warned that the proposed royalty hike would impact profitability at its 80,000 ounce-per-year Blanket mine in southern Zimbabwe.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">Caledonia said the royalty increase and other changes to Zimbabwe&#8217;s fiscal regime would also undermine plans to develop its $500 million Bilboes project, which is set to be Zimbabwe&#8217;s biggest gold mine.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">The Southern African nation produced 42 metric tons of gold in the 11 months to November 2025, a new peak, outpacing the previous record of 37 metric tons in 2024.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">Industry groups had warned that the government&#8217;s royalty hike would hurt efforts to attract investment and reposition Zimbabwe among Africa&#8217;s top gold producers.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">&#8211;Reuters&#8211;<\/p>\n<\/div>\n","protected":false},"featured_media":21246,"template":"","meta":{"_acf_changed":false},"news-type":[44],"class_list":["post-21245","news","type-news","status-publish","has-post-thumbnail","hentry","news-type-finance","entry"],"acf":{"short_description":"","published_date":null,"news_description":"Zimbabwe has reversed plans to double its gold royalty rate","form_embed":"","author":"","image_caption":""},"_links":{"self":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news\/21245","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news"}],"about":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/types\/news"}],"version-history":[{"count":1,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news\/21245\/revisions"}],"predecessor-version":[{"id":24989,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news\/21245\/revisions\/24989"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/media\/21246"}],"wp:attachment":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/media?parent=21245"}],"wp:term":[{"taxonomy":"news-type","embeddable":true,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news-type?post=21245"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}