John Magufuli pushes for listing of mining firms

Tanzania President John Magufuli. (Photo: Courtesy)

Tanzania will enforce a new rule requiring mining companies to list on its bourse by August, President John Magufuli said, as part of measures aimed at increasing transparency and spreading wealth from the country’s natural resources.

Major foreign-owned mining companies in Tanzania that will be affected by the requirement to list on the Dar es Salaam Stock Exchange include Acacia Mining, AngloGold Ashanti and Petra Diamonds. “By listing these companies on the stock exchange, we will be able to monitor how much (revenue) they actually get,” Magufuli said in a television programme aired by local stations late on Tuesday.

The programme produced by the president’s office featured comments made by Magufuli during talks with local business leaders on May 6. The government issued regulations last year requiring holders of special mining licences to sell a 30 percent stake in their companies via an initial public offering within two years. The mining ministry amended the rules in February and set a new listing deadline of Aug. 23.

Tanzania is Africa’s fourth-biggest gold producer and also has vast deposits of coal, uranium and precious gemstones. Magufuli said he hoped the IPOs would bring more transparency and offer the public a share of the mining industry’s profits.

Since coming into office in November 2015 Magufuli has targeted large companies, in a crackdown on tax evasion.