ESG compliance becomes mandatory for mining rights

Zimbabwe will legislate environmental, social, and governance (ESG) compliance as a mandatory condition for securing, renewing, or extending mining rights. The Daily News reported the move aligns with global investor demands but imposes new costs on an industry already grappling with power shortages and smuggling. The policy shift is expected to have far-reaching implications for the mining sector and foreign investment. Mining companies warn the regulation could slow investment in lithium and gold projects, while environmental groups argue enforcement remains weak. The core vulnerability is the tension between attracting ESG-conscious capital and the reality of a sector where illicit mineral flows and community displacement remain endemic.