Mozambique moves to tighten grip on mining sector with 15% state stake proposal
Mozambique is preparing sweeping reforms to its mining regulatory framework that would require the state to hold a minimum 15% stake in all mining projects, marking one of the country’s most assertive shifts toward resource nationalism in recent years.
The proposal, which is part of a broader overhaul of the mining law currently under review, also seeks to restrict the export of unprocessed minerals in a bid to retain more value within the domestic economy through local beneficiation and industrial processing.
Under the planned changes, the state through its designated mining entity would secure direct equity participation in all new extractive ventures, strengthening government influence across the mineral value chain.
Officials argue that the reforms are designed to correct long-standing structural imbalances in the sector, where foreign firms have traditionally dominated production while value addition has largely occurred outside the country.
The policy shift mirrors a wider continental trend, as several African governments move to increase state ownership, tighten licensing regimes, and push for local processing of strategic minerals amid rising global demand for critical resources.
Supporters of the reform say it could boost fiscal revenues, create jobs, and deepen industrialisation. However, analysts caution that increased state participation could also raise investor concerns if not matched with regulatory clarity and infrastructure reliability.
If adopted, the changes would place Mozambique among a growing number of African resource-rich economies recalibrating their mining sectors to capture a larger share of value from their natural wealth.
