Economy

Transparency in Zambia’s mining sector improves

Mining has for many years single handedly driven the Zambian economy with copper being the protagonist among the several metals in the country.

Up until 2008, there has been no examining eye which had been laid on the books of accounts to check mine companies’ income and taxes paid to or received by Government. The first Extractive Industry Transparency Initiative report for Zambia was targeted for 2008, a year that was one of the most challenging for both Government and the mining companies.

The reconciliation exercise was undertaken to help the Zambian Government identify the contribution that the extractive industry is making to the economic and social development of the country. In turn, this will help the Government to realize the potential the mineral resources have to the country through improved resource governance.

EITI is a global initiative that promotes better governance in countries rich in oil, gas and minerals and seeks to reduce the risk of diversion or misappropriation of funds generated by the development of a country’s extractive industry resources.

Source: Allafrica.com

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