09 July 2021

The Publish What You Pay Zimbabwe (PWYP) would like to applaud Caledonia Mining Corporation for its actions in pursuing a listing on the Victoria Falls Stock Exchange[1]. Caledonia Mining Cooperation is also trading on London Stock Exchange’s AIM.

Caledonia was a part of the breakfast meeting held on the 31st of May 2021 at Holiday Inn Harare organized by the Zimbabwe Environmental Law Association (ZELA) to enable PWYP members to understand and explore opportunities on transparency and accountability offered by the Zimbabwe Stock Exchange and the Victoria Falls Stock Exchange (VFSE)[2]. One of the key action points from the meeting was to carry out advocacy initiatives to influence other companies to be listed on the ZSE and VFEX. Therefore, the news that Caledonia has taken it upon themselves to join VFEX is laudable.

The VFEX is wholly owned by the Zimbabwe Stock Exchange (ZSE) therefore currently operating as one unit. Target listing for VFEX include Largely export oriented or companies with significant foreign earnings. Of importance is the transparency and accountability window that comes through disclosure and sustainability reporting which includes Environmental, social and governance (ESG)aspects.

What Caledonia is doing is a commendable move and we encourage other mining companies to also join. This will be the first gold mining company to be listed on VSE, with three other companies listed on ZSE being RIO ZIM, Hwange Colliery and Bindura Nickel.  This must be accompanied by a commitment towards compliance. Off late, there has been a challenge with compliance, and this could be as a result of lack of enforcement coupled by lack of resources and training for compliance along ESG aspects. These are not being enforced hence very few have taken upon themselves to comply. However, Caledonia Mining Cooperation has been very consistent on disclosure of their financial reports and Corporate Social Responsibility.

We look forward to compliance by Caledonia in publishing financial statements (Financial Disclosure) and sustainability disclosure. This includes production of sustainable reports with a balanced and objective view on the company’s performance by including both positive and negative impacts on environment and society, how it relates to its stakeholders and contribute to sustainable development as required under the VFEX. With the use of GRI standards or any standards of their choice for their sustainability reporting.

[1] https://miningzimbabwe.com/caledonia-to-list-on-vic-falls-stock-exchange-vfse/

[2] http://www.zela.org/zimbabwe-stock-exchange-and-victoria-stock-exchange-listing-requirements-what-are-the-opportunities-to-help-advance-mining-sector-transparency-and-accountability/