Public-Private Partnerships (PPPs) and Sustainable Natural Resources Exploitation in Africa: Lessons from Diamond Mining in Chiadzwa, Zimbabwe

"African countries are endowed with vast natural resources in general and mineral wealth in particular. Regrettably, most of the resource-rich countries in Africa face chronic shortages of financial capital, appropriate and advanced technologies and the skills acumen to extract and beneficiate their resources. This policy brief discusses the benefits of African countries’ embracing Public-Private Partnerships (PPPs) in the exploration for and extraction of natural resources, and their subsequent processing and refining along production and supply chains to add value before they are marketed elsewhere. This brief uses, as a case study, diamond mining in Chiadzwa, an extensive field of alluvial diamonds in the Marange district in the Manicaland province of Zimbabwe. Against the backdrop of capacity and resource constraints experienced by most African countries, the policy brief argues that African governments need to realise the benefits of partnering with the private sector in the exploitation and processing of natural resources. Consequently, they should formulate, facilitate and implement appropriate policies that promote joint ventures with the private sector. The private sector is technically equipped and financially resourced; it can stimulate innovation and improve productivity, wealth creation and distribution – critical achievements towards the realisation of the Millennium Development Goals (MDGs) of poverty alleviation and eradication of hunger in poor communities, which are the main developmental issues in Africa."