- Only 3 have paid their dividends in 2021
- 60 billion FCFA paid
- Pending finalisation of the mining sector audit report
Five out of fifteen industrial mining companies operating in Mali have paid dividends to the state over the past 10 years, according to the provisional audit report on Mali’s mining sector, cited by the Front for Emergence and Renewal in Mali (Front pour l’Emergence et le Renouveau au Mali, FER-Mali) and the the Association for the Promotion and Valorisation of Mineral Resources in Mali (Association pour la Promotion et la Valorisation des Ressources Minérales au Mali, APVRM) at a press briefing on 20 May 2023. The aim of these organisations is to support the government in its drive to clean up Mali’s mining sector.
On the occasion of this conference, the two organisations encouraged the government to finalise the audit report on the mining sector.
According to the report, 12 of Mali’s 15 industrial gold mines claim to be operating at a loss. This justifies the non-payment of dividends to the State of Mali. Some mines have been able to operate for 15 years without paying dividends to the State, because of special clauses in their contracts. In the same report, some officials stated that contracts are not negotiable in Mali.
According to FER-Mali President Sory Ibrahima Traoré: “This audit now serves as proof that gold mines operate in total opacity”.
The president of APVRM, Djibril Diallo, congratulated the members of FER-Mali and APVRM for their sense of patriotism and their commitment over more than a year to improving the governance of Mali’s mining operations “so that Mali’s gold can shine for all Malians”, he said.
The report shows that nearly 2,600 billion FCFA in gold export revenues have not been repatriated between 2019 and 2021. This constitutes a violation of export regulations. This situation is causing the country’s banking system and the Malian economy to lose revenue. Djibril Diallo also pointed out that the report indicates that in 2021 the sector generated a turnover of nearly 1,900 billion FCFA. In the same year, only 60 billion in dividends were paid to the State of Mali by 3 companies. Meanwhile, tax exemptions of 36 billion FCFA were granted. He added that “some mining companies that have been in operation for more than ten years have never paid a dividend to the State of Mali”.
The speakers pointed out that the local development mining fund was not operating in accordance with the law.
Summary by Rachid Ouedraogo
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