Zimbabwe’s platinum mining companies are owed millions of dollars in unpaid export income due to the country’s foreign currency retention policy, according to the national mining chamber.

This delay in payments is further straining an industry already dealing with the impact of falling platinum prices.

Under current rules, Zimbabwe requires exporters to keep only 70% of their export proceeds in foreign currency, while the remaining 30% is converted to local currency.

As the world’s third-largest producer of platinum group metals (PGMs) after South Africa and Russia, Zimbabwe says it needs foreign currency to finance crucial imports and service external debt.

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Key platinum producers in the country include Valterra Platinum, Zimplats, owned by Impala Platinum, and Mimosa, a joint venture between Impala and Sibanye Stillwater.

These companies exported PGM mattes and concentrates valued at $690 million in the first half of 2025, based on government figures.

However, since January, the government has not paid miners the local currency portion of their export earnings, a mining chamber official told Reuters.

Deputy Finance Minister Kuda Mnangagwa confirmed the backlog, explaining, “There were issues of cash flow constraints, particularly in the first quarter of the year when our revenue collections are at their lowest.”

He added that discussions are ongoing with platinum miners to ensure “that these delays don’t burden their operations.”

Platinum group metals, which are essential for making catalytic converters used in reducing vehicle emissions, are Zimbabwe’s second-most valuable mineral export after gold.

During the same period, Zimbabwe exported gold worth $1.8 billion, more than double the $870 million exported in the first half of 2024, following record high gold prices.

Gold producers have also voiced concern over the country’s foreign currency retention rule, arguing that converting part of their proceeds into an overvalued local currency reduces their earnings.

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Image Credit: Radar Africa