A bilateral trade agreement was signed between Argentina and Zambia on Monday. The consensus was signed for the mining sector between the two chambers of commerce belonging to the two countries. This collaboration will help in increasing the repo and strengthening the geopolitical ties between the two countries. The signing of this consensus will greatly help both countries in bringing in investments whilst propagating a socially and environmentally sustainable trade agreement.
Argentina has long since been a haven for mining companies unlike Zambia whose short-term revenue generation has caused the country to fall back in the mining sector. Argentina’s investment currently stands at $200 million per year whilst investment dissuasions, government policies and tax regimes have hampered Zambia’s position in the sector causing them to fall back $10-20 million a year.
This idea for this new policy was brought about around last week by Kansembe-Mwamba, Zambia’s ambassador to Argentina in order to better the ties in the mining department between the two countries when he suggested a Memorandum of Understanding with its Argentine counterpart, the Camara Argentina de EmpresariosMineros. Presenting the two countries with potential chances to learn from each other regarding the policies and such in the mining department with increased cooperation, this new policy could be a good thing for both parties.