The government of Namibia may be considering amendments to the current requirement that mandates a minimum participation of local citizens in ownership of the mining companies, according to local media reports.

Quoting from news agency Reuters, the reports say that this step is being taken to attract new investments in the sector and comes on the heels of similar moves in neighbouring countries.

According to the reports, Mines Minister Tom Alweendo told the agency that the government would “discuss the current requirements about black ownership” and try to “see if they are really serving the purpose of why they exist”.

He was quoted as saying that by giving exploration licences to companies that cannot add value, the policy is actually slowing down empowerment.

At present there are two mandatory requirements, the reports  state, firstly that there should be a at least 20 per cent of historically disadvantaged, or black Namibians, represented in the management structure of a company that applies for an exploration licence, and secondly, that at least 5 percent of the company must be owned by Namibian persons or by a company wholly owned by Namibians.