How Africa could more benefit of their mineral ressources?
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Comments
That's a really good question and we must debate it.
However, in my opinion it depends on the country and the region around...Mozambique, South Africa, Sudan or Angola faces different challenge and realities.
Questions about impact of mineral industry and it's profits should be addressed to groups and institutions such as African Union, SACU, SADC, among others.
The creation of mechanisms that turn the profits gained in the mineral industry into investments in infrastructure, formal education, housing, basic sanitation, the health system would be a good start for the governments.
Mining companies pay their taxes and duties every year to the government of the countries they extract resources, yet when you visit a majority of the towns near a mining company's mine, you see much poverty. It is pretty evident that the mining companies taxes do not make it back to the communities that surround the mine. How can this improve within governments that seem to always be in need of additional funds to run their country? The tax dollars seem to never make it back to the mining communities thus they look neglected by the big Mining Companies and it is the mining company that gets the heat about not supporting local communities. The mining companies are following the countries tax law, yet most have additional small amounts of funds that are digressional and put directly into the communities near the mine. These are the only funds that the mine can directly influence what happens in the local community. If more is to done in the local communities surrounding the mines, then the government would most likely need to give a tax incentive to the mining company to put what would have been paid in tax can now be paid directly into the community for infrastructure, hospital, schools or housing.