Banks ignore artisanal miners despite huge gold boom
Zimbabwe’s artisanal miners deliver three-quarters of national gold production yet remain largely cut off from bank financing, a sector conference heard last week. Small-scale operations contributed 24.45 tons during the first nine months of 2025, up 67 percent from a year earlier, while output from major mining companies declined.
Banks view the sector as risky because operators lack formal registration, collateral and structured business plans, said Stewart Makenga from NMB Bank at the planetGOLD Zimbabwe Annual Stakeholders Conference. Financial institutions must protect depositor funds and require compliance with local regulations before extending credit. NMB has instead partnered with cooperatives and gold buyers who act as intermediaries, a model that reduced default rates.
Mining consultant Kundai Chikonzi said poor record-keeping and misconceptions about repayment patterns discourage lenders from engaging with artisanal miners. She noted that banks demand 30-day repayment cycles despite mining requiring longer processing periods. Young Miners Federation representative Payne Kupfuwa proposed that government agencies serve as loan guarantors for emerging miners who lack assets. Participants agreed that bringing informal operations into regulated frameworks remains essential for unlocking capital access and transforming small-scale mining into commercially viable enterprises.
