More State intervention needed in mining – Motlanthe

The recent global financial crisis has shown that more state intervention is needed in the mining industry, Deputy President Kgalema Motlanthe said on Tuesday.

"Contrary to the view that there must be less state involvement in the economy, the lessons from the recent economic and financial crises... [is] that more state involvement is sought," Motlanthe told the ninth international mining history congress in Johannesburg.

State involvement would secure the socio-economic development of South Africans, he said.

For this reason, the government endorsed the African Exploration Mining and Finance Corporation (AEMFC), as the "nucleus" of a state-owned mining company.

It was through the AEMFC that the state could consolidate its participation in mining and focus on ensuring the security of supply of minerals of strategic significance. Read more here...