South Africa has raised the minimum threshold for black ownership of mining companies to 30 percent from 26 percent. Mining companies in the world’s top platinum producer have however complained about a lack of consultation over the revisions. Some say onerous rules would hurt investment. The rand fell 2 percent after the minister of Minerals Joseph Zwane unveiled details of the revisions while the Johannesburg bourse’s Mining Index extended its decline to more than 3 percent. Zwane said companies had 12 months to meet the new 30 percent target. The government has said companies must keep to black ownership targets even if black shareholders sell their stakes.
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Categorised in: Africa