chindori chininga edward chindori chininga 29-08-11.jpg 2.jpgThe Parliamentary Portfolio Committee on Mines and Energy has expressed concern over failure by foreign owned mining firms to utilise local financial institutions, preferring to keep their money outside the country, saying it is stalling economic growth.

The mining sector has been touted as key to the country’s economic revival with projections pegged at 44% growth this year.

However, concern has been raised over the continuous shunning of local financial institutions by some of these firms.

In an interview with ZBC News, the Parliamentary Portfolio Committee on Mines and Energy Chairman, Cde Edward Chindori-Chininga said government should compel all mining firms to use local financial institutions for the benefit of other sectors.

On the contributions of the mining sector to the national fiscus, Cde Chindori-Chininga said it remains a challenge as some mining firms are contributing only 10% of their earnings which hover around US$2 billion.

The mining sector is expected to record a 44% growth this year.

African countries, including Zimbabwe have been challenged to broaden their economic base than depend on commodity exports for their growth.

It is also reported that government is losing revenue as mining companies are misrepresenting weights of minerals for exports.