The ruling political party in South Africa, the African National Congress (ANC) is seeking more state control of mining.
Its main decision making body the National Executive Committee or NEC wants to amend the Mineral and Petroleum Resources Development Act as per Enoch Godongwana the deputy chairman of the NEC subcommittee on economic policy.
The ANC Youth League has repeatedly asked for nationalization of mines, however Godongwana said that they were looking at other models of state intervention as well.
Mining generates 30 percent of South Africa’s export revenue, 18 percent of its corporate taxes and 500,000 direct jobs, according to the Mines Ministry.
The ANC is looking for ways to strengthen the Rand and disadvantage exports while it tries to maintain the levels of foreign investment in the country so that its productive capacity is not affected.
Godongwana who is also the deputy public enterprises minister said that the nationalization of mines issue was brought forth by the Youth League and it was perfectly entitled to raise any matter on the table for debate.