By Chantelle Muzanenhamo
Zimbabwe’s gold sector experienced a turbulent turn in March 2026 after a policy shift by the Reserve Bank of Zimbabwe (RBZ) triggered a sharp decline in deliveries, raising fresh concerns over stability in the country’s most critical export industry.
Data released by Fidelity Gold Refinery (FGR) shows that gold deliveries fell by 16.4 percent in March to 2,854.00 kilograms, down from 3,412.95 kilograms recorded in February.
The drop comes despite an overall strong first quarter, which saw output rise by 8.2 percent to 9,311.92 kilograms compared to the same period last year.
Industry players have largely attributed the March slump to the RBZ’s short-lived 10 percent ZiG retention policy, introduced under a 90:10 payment framework that required miners to accept part of their earnings in local currency.
The move, combined with delays in ZiG disbursements, disrupted cash flows in a sector heavily reliant on foreign currency for daily operations.
Small-scale miners, who account for the bulk of Zimbabwe’s gold production, were the hardest hit.
Deliveries from the sector plunged by 30.8 percent in March to 1,748.70 kilograms from 2,525.65 kilograms in February, marking one of the most significant monthly contractions in recent years.
Many miners struggled to access foreign currency needed for fuel, equipment and other essentials, forcing some to scale down operations.
Although the central bank moved to suspend the policy on March 24, citing implementation challenges, the damage had already been felt across the sector.
Market participants say liquidity constraints persisted throughout the month, limiting the ability of gold buyers to purchase available output.
Large-scale producers offered a partial buffer, with deliveries rising by 24.6 percent in March to 1,105.31 kilograms, reflecting improved operational stability within the segment.
However, their gains were not enough to offset the steep decline recorded among artisanal miners.
Meanwhile, Matabeleland South continues to play a pivotal role in Zimbabwe’s gold industry, contributing an estimated 40 percent of total deliveries to Fidelity Gold Refinery.
The province, particularly mining centres such as Filabusi, remains a key driver of output, largely powered by artisanal and small-scale miners whose productivity is highly sensitive to policy and payment conditions.
The situation was further compounded by external pressures, including disruptions to international payment channels linked to the ongoing Middle East conflict, which has affected key export markets such as the United Arab Emirates.
Despite the March downturn, first-quarter performance remains ahead of 2025 levels, offering cautious optimism for recovery following the restoration of full U.S. dollar payments.
However, analysts warn that the episode highlights the gold sector’s vulnerability to abrupt policy changes.
With the government targeting 50 tonnes in annual gold output, industry observers say achieving this goal will depend not only on production capacity but also on consistent and predictable policy measures to sustain confidence in the sector.