88. Tax on mines in Zambia
“We want the mines in Zambia to pay the State its due. The project helps us make sure that the mines account for all their production,” says Mooya Lumamba, Director of Mines in the Zambian Government.
Mining accounts for some six per cent of Zambia’s gross domestic product. Lack of transparency is, however, a big problem, and often there is no information about what the mines produce and sell. This makes it difficult to collect taxes for the central government.
The EU is helping Zambia to improve the transparency of its mining industry in 2015–2018. The aim is to improve the operations of the Zambian Ministry of Mines and Minerals Development so that it will be better able to monitor the mines and minerals development in the country. Government officials have received training on mining production reporting. They also have better tools to monitor the mining industry. Finland supports the project through the EU.
Photo: Ville Palonen, graphics: Juho Hiilivirta