Chairperson for Zambia Alternative Mining Indaba Father Chikoya has recommended that mine ownership by members of the local communities must be promoted.
Speaking at the ongoing international conference on mineral Resources governance held under the Theme: “Repositioning the Africa mining Vision as a Robust Domestic Resources Mobilization Tool Post COVID-19” Father Chikoya said there is need to enhance information sharing on Mining policies to ordinary members of the public through constant engagements.
He has also urged the church mother bodies to consider buying shares in mines listed on the Lusaka security exchange as a way of encouraging local ownership of mines in the country.
Speaking earlier Centre for trade and policy development CTPD has noted that African countries have the capacity to mobilizes resources through mining industries with the continent.
Center executive director Isaac Mwaipopo challenged the participants to come up with workable ideas for African states on how mobilize resources from within.
Mr. Mwaipopo added that African countries must reposition the mining industry in a bid to cut off the dependence of aid.
He however expressed optimistic that the continent can strive by taking advantage of the robust opportunities in the mining sector.
And a Representative from the ministry of finance Davis Mtonga, said the 2022 national budget has policies addressing previously raised concerns in the mining sector.
Mr. Mtonga referred to the proposed mining royalties which will now be deductible from income taxes.
MEANWHILE African Tax Administrators Forum Representative Thulani Shongwe, has highlighted the need to Strengthen government revenue from mining.
He said as a result of the involvement of the forum, the government of Zambia managed to recover US$13 million from Mopani Copper Mines, in a running tax dispute with a mining company.
He reiterated that there is a need to scale up collaboration between mining agencies and tax administration in order to increase transparency about the operations of the mining companies and the transactions they enter into with other members of foreign owned multinationals.
According to Mr. Shongwe, members report that they frequently see cases of profit shifting by multinational companies in the mining sector which relates to the undervaluing of exported minerals using tax planning strategies such as the use of marketing hubs located in low tax jurisdictions.
Over a decade has passed since the Africa Mining Vision was adopted by the African heads of state and government in 2009.
The Africa Mining Vision aims to enhance the mining sector’s contribution to the continent’s sustainable development through sound mineral resource governance.
The imperative of harnessing resources from mineral wealth to bolster the fight against poverty and inequality has become more urgent because of the multiple crises triggered by the COVID-19 pandemic.
According to the African Development Bank, about 40 million more Africans risk being thrown back into extreme poverty.
