Chamber of Mines CEO resigns

Published: 20 March 2014

CHAMBER of Mines of Zimbabwe (CoMZ) chief executive officer (CEO), John Chikombero, resigned from the high pressure job with immediate effect on Wednesday last week, amid reports of sharp differences with the board, the Financial Gazette's Companies & Markets (C&M) can report.

C&M could not immediately establish the nature of the differences, although it would appear they were predicated on the CoMZ's approach to policy issues affecting the mining sector. Insiders said the chamber's membership was of the the view that Chikombero's qaulifications where incompartible with the job at hand, hence pressure had been brought to bear on him to leave.

There were also sharp differences between him and the highly technocratic members of management and the board, which had the effect of poisoning the working enviroment. Before joining the CoMZ, Chikombero was the head of strategy, projects and advisory services at the Agriculture Bank of Zimbabwe. He was educated at the University of Toledo, Muskinqum University and boasts of being a political and economic risk strategist who has gained and developed advisory skills and commercial diplomacy.

The CoMZ has had one of the highest CEO turnovers in Zimbabwe for any privately-managed institution, fuelled by tremendous pressure government has put on the industry over its ongoing indigenisation and economic empowerment programme, which has largely targeted the mining sector. Three CEOs have left the CoMZ since 2008. Chikombero, who arrived at the CoMZ from Agribank in 2009, replaced Chris Hokonya, who had replaced Joseph Malaba, who had a brief stint with the chamber after replacing David Murangari in 2008.

Financial expert, Isaac Kwesu, has been appointed acting CEO. Kwesu is currently the CoMZ's chief economist. He joined the CoMZ just over two years ago from MMC Capital where he was head of strategy. He was also head of strategy at Premier Finance Group before its takeover by Ecobank Group to become Ecobank Zimbabwe. He has been instrumental in shaping the CoMZ's research and policy analysis division and is credited for writing crucial input in the industry's debate on the indigenisation and mining policy.

Both Chikombero and Kwesu were not answering their phones this week but authoritative sources privy to the developments confirmed that Chikombero had abruptly resigned.

"Chikombero announced that he was resigning last week," a source close to the developments said.

"He resigned with immediate effect in a development that took everyone by surprise. He said he had agreed with the leadership to go before the end of his term, which was expiring next month."

Chikombero is credited for working to mend frosty relations between government and the mining industry over the empowerment policy. Relations between government and the CoMZ were largely strained as result of sharp differences on indigenisation in the mining sector.

Former mines and mining development minister Obert Mpofu and ex-empowerment minister Saviour Kasukuwere were of the opinion that the chamber was not "playing ball" on government policy to force foreign-owned mining companies to sell majority stakes to locals.

Mhembere was also not available for comment.
- fingaz