Friday, 31 July 2009




This report has been compiled by a group of African and international civil
society organisations concerned about the lack of transparency in mining
contracts, as well as the revenue that national budgets forego because of
excessive mining tax concessionsas well as multinational mining companies
avoiding and evading tax. Our analysis, drawn from research conducted in
Ghana, Zambia, Tanzania, Sierra Leone, Malawi, DRC and South Africa, shows
that African governments are foregoing millions of dollars in tax revenue
from the mining industry. This is largely because of overly generous tax
concessions, usually granted discretionarily in secret mining contracts, as
well as tax avoidance and illegal tax evasion practices by multinational
mining companies. Fuelling these losses is a lack of transparency and
oversight of the financial remittances from mining companies to government
institutions, coupled with the inability of government institutionsto audit
the complicated accounts of multinational mining companies.


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