Mulungushi Reforms of 1968
The Mulungushi Reforms of April 1968 were a major change in the structures of the economy of Zambia in which the government declared its intention to acquire an equity holding (usually 51 percent or more) in a number of key foreign-owned firms, to be controlled by the Industrial Development Corporation (INDECO).
By January 1970 a majority holding had been acquired in the Zambian operations of the two major foreign mining corporations, the Anglo American Corporation and the Rhodesia Selection Trust (RST), which became the Nchanga Consolidated Copper Mines (NCCM) and Roan Consolidated Mines (RCM), respectively. A new parastatal body, the Mining Development Corporation (MINDECO), was created. Government control was later extended to insurance companies and building societies, which were placed within a new parastatal body, the Finance and Development Corporation (FINDECO). The banks successfully resisted takeover. INDECO, MINDECO, and FINDECO were brought together in 1971 under an omnibus parastatal, the Zambia Industrial and Mining Corporation (ZIMCO), to create one of the largest companies in sub-Saharan Africa. In 1973 management contracts under which the day-to-day operations of the mines had been carried out by Anglo American and RST were ended. In 1982 NCCM and RCM were merged into the giant Zambia Consolidated Copper Mines Ltd.