Live
Audio Only
Global Witness published a report stating that over 20 percent of the Democratic Republic of Congo's mining revenue is being lost due to corruption and mismanagement.
RELATED:
Congo Protests Fall Flat as Opposition to Kabila Sputters
According to the group, the money is being distributed through corrupt networks linked to embattled President Joseph Kabila.
Data from the Extractive Industries Transparency Initiative (EITI) reveals that between 2013 and 2015 over $750 million paid by mining companies to Congo’s tax agencies and state mining companies never reached the national treasury.
The DR Congo's mining revenue is reportedly paid to the state-owned mining company, Gecamines, the head of which is a close ally of Kabila – who has denied allegations of corruption and insisted the company is transparent.
The Democratic Republic of Congo is Africa's biggest producer of copper and the world's largest supplier of cobalt used in batteries for electric cars. The country is also rich in gold, diamonds and coltan, used in mobile phones.
But, remains one of the poorest countries on the planet.
The government has not commented but has previously denied allegations of corruption in its mining sector.
Congo’s tax agencies are allowed, by law, to retain a percentage of the fines they levy, which has led to fabricated fines as they seek to inflate how much they can keep as their own funds.
The report also says that if the money not reaching the state coffers through corruption, mismanagement and an ineffective tax system was collated, from 2013 to 2015, then the amount rises to $1.3bn.
Newsletter
