Omanghana
Zambia is considering changes to taxes and regulations affecting its gold industry after trade figures revealed a major discrepancy between the country’s official export records and imports reported by its international trading partners.
Official data showed that Zambia exported less than $128 million worth of gold in 2023. However, the United Arab Emirates reported importing nearly $1.8 billion in gold attributed to Zambia during the same period, while Hong Kong recorded a further $108 million.
The figures have intensified concerns that substantial quantities of gold produced or traded in Zambia are moving through informal channels without being fully recorded by customs and mining authorities.
Although differences in international trade statistics can result from valuation methods, transit arrangements and country-of-origin reporting, the size of the gap has renewed attention on gold smuggling, weak oversight and the dominance of unregulated traders.
Authorities and industry stakeholders are assessing whether lower taxes and a simplified regulatory system could encourage artisanal and small-scale miners to sell their gold through authorised channels.
Supporters of the proposed reforms argue that high taxes, licensing difficulties and limited access to formal buyers make illegal markets more attractive. They believe reducing the cost of compliance could improve official gold purchases, exports and government revenue.
Zambia suspended a 15 per cent export duty on precious metals and gemstones in February 2025 after mining companies warned that the levy would undermine competitiveness and discourage investment. Further adjustments could form part of efforts to establish a more organised domestic gold market.
The state-controlled ZCCM Investments Holdings Plc believes Zambia could unlock more than $1.8 billion from its small-scale gold industry by formalizing production and trading. Its chief executive, Kakenenwa Muyangwa, has said better organization of the sector could significantly increase officially recorded output and exports.
Zambia is also examining lessons from Ghana’s gold-sector reforms, including the creation of the Ghana Gold Board to regulate, purchase, finance and export gold produced by the artisanal and small-scale mining sector.
Formalizing Zambia’s gold trade could improve traceability, enable miners to access banking services and reduce the influence of illegal intermediaries. It could also help the government collect more revenue despite charging lower rates by expanding the number of transactions captured within the tax system.
The reforms carry wider economic importance as Zambia seeks to strengthen its foreign-exchange position, attract mining investment and sustain its recovery following years of debt difficulties.
Closing the gap between domestic export records and overseas import data would allow the country to retain more value from its mineral resources while providing policymakers with a clearer picture of gold production and trade.
Source: Omanghana
