By Business Reporter-Zimbabwe is losing up to 40% of its gold revenue to smuggling syndicates, Mines and Mining Development Minister Winston Chitando has revealed—confirming long-standing allegations of systemic looting raised in high-profile international investigations.
Speaking at the 2025 First Quarter Gold Mobilisation Workshop held in Harare on Wednesday, Chitando said illicit trade in gold continues to pose a serious threat to Zimbabwe’s economic recovery, despite improved deliveries to the state’s gold-buying agencies.
“It is important to acknowledge, however, the significant challenges that continue to face our gold mining sector,” Chitando said. “Foremost among these are illicit activities and the ongoing issue of gold smuggling. Due to its inherent nature as a high-value and low-volume commodity, gold is particularly susceptible to leakages to various international markets.”
This public acknowledgement by a senior government official lends credence to a 2023 investigative documentary series by Al Jazeera, titled Gold Mafia, in which ZimEye largely contributed to, which exposed elaborate gold smuggling and money laundering networks operating with impunity in Zimbabwe. The investigation, based on undercover footage and leaked documents, linked several gold smugglers to individuals within President Emmerson Mnangagwa’s inner circle, including diplomats, senior clergy, and politically connected businessmen.
The Gold Mafia exposé revealed that Zimbabwean gold was being moved illicitly to international markets—particularly the United Arab Emirates and South Africa—through sophisticated networks involving fake invoices, diplomatic cover, and shell companies. Among the central figures implicated were self-styled prophet Uebert Angel, Zimbabwean presidential envoy and ambassador-at-large, and business mogul Simon Rudland, whose role in these schemes stirred intense local and global criticism.
The extent of Zimbabwe’s gold losses is staggering. A 2020 report by the International Crisis Group estimated that the country loses about US$1.5 billion annually to gold smuggling—equivalent to 22.4 tonnes a year or approximately 1.87 tonnes every month. If current gold prices—reported by BullionVault Ltd to be around US$3,338.19 per ounce—are applied, this means Zimbabwe could have forfeited around US$660 million in just the first quarter of 2025 alone due to smuggling.
Despite these losses, Zimbabwe recorded gold export earnings of US$755.24 million in the first quarter of 2025, a significant increase from US$385.13 million during the same period in 2024, according to the Zimbabwe National Statistics Agency (ZimStat). Yet experts suggest these figures still fall far short of what the country could earn if all gold was sold through formal channels.
Chitando noted that total gold deliveries for the first quarter reached 8.5 tonnes, surpassing the quarterly target of 7 tonnes. He attributed much of this progress to the small-scale mining sector, which consistently contributes around 60% to Zimbabwe’s gold output.
“In January, February and March 2025, small-scale miners delivered 2.27 tonnes, 1.64 tonnes and 1.86 tonnes respectively, averaging 68% of the total monthly production,” Chitando said. “This consistent performance underscores the effectiveness of our efforts to formalise and empower this pivotal industry.”
The minister reaffirmed the government’s commitment to supporting artisanal miners through training, formalisation, and improved access to fair markets. However, observers say real progress will depend on political will to dismantle entrenched smuggling cartels and ensure accountability for those implicated in the looting.
The Ministry of Home Affairs has previously estimated that Zimbabwe loses at least US$100 million monthly to gold smuggling—an issue that has persisted despite various attempts to increase transparency and regulatory oversight.
Analysts and civil society organisations continue to call for an independent inquiry into the Gold Mafia revelations and prosecution of those involved. Without this, critics argue, Zimbabwe’s gold sector risks becoming a permanent tool for elite enrichment and international money laundering.