mining
mining

A coalition of Burkina Faso civil society groups on Thursday urged the country’s parliament to pass a mining code that will see mining companies offer 1 percent of their total turnover to be used for local development. mining
Speaking in Ouagadougou during the launch of the campaign dubbed “1 percent of gold money for Burkina Faso’s development,” the coordinator of the campaign Jonas Hien said “civil society groups believed members of the transition parliament will demonstrate their patriotism by acting in the best interest of the country.”
Burkina Faso, the fourth largest gold producer in Africa behind South Africa, Ghana and Mali, has in recent years experienced a boom in production which has been attributed to the 2003 mining code, considered to be more favourable to investors.
In 2014, gold mining earned Burkina Faso’s Public Treasury about 280 million U.S. dollars in form of taxes and royalties.
“By passing the new mining code that conforms to the aspirations of our people, parliamentarians will be rendering justice to our populations who have suffered for long despite our underground mineral wealth,” Hien said.
Campaign initiators said once the new law has been passed, the money generated will be used to accomplish communal and regional development plans.
“Seventy percent of these funds will benefit the communities where mining activities take place, 20 percent will benefit residents within mining sites and 10 percent will benefit other populations who do not live in mining regions,” Hien said, adding that “taxes the government was earning from mining firms were not distributed in a balanced manner.”
Since 2010, Burkina Faso’s civil society groups have been demanding for a review of the country’s mining code, especially after gold replaced cotton in 2009 as the country’s biggest foreign exchange earner. Enditem

-Xinhua

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