On Wednesday 23 February 2011 the Zambian Minister of Mines and Mineral Development, HE Maxwell M.B. Mwale, launched Zambia’s first EITI report that discloses payments made by the major mining companies to government for 2008.
The first EITI report shows that mining companies reported having paid US$463 million in 2008. Although the government entities report having received almost as much, the detailed figures reveal significant discrepancies in either direction among the different payment components. The reconciliation effort reduced to these discrepancies to a net total of unresolved discrepancies of about US$66 million. The reconciler of the report, PWC Zambia, states that the reconciliation to address the unresolved discrepancies could have been carried further, had there been better compliance with reporting deadlines and better supporting documentation. The unresolved discrepancies relate mainly to VAT and customs duties, but also to corporate income tax. The report closes with numerous useful recommendations for future reports.
For further information about EITI implementation in Zambia, visit the Zambia EITI website, the Zambia page on the International EITI website, or contact Regional Director Eddie Rich at the EITI International Secretariat.