Kofi Annan: Africa plundered by secret mining deals

Africa Sustainable Conservation News

BBC

Bauxite factory in mineral-rich Guinea (Archive shot)Under-pricing deprives Africa of much-needed money, the report says

 

Tax avoidance, secret mining deals and financial transfers are depriving Africa of the benefits of its resources boom, ex-UN chief Kofi Annan has said.

Firms that shift profits to lower tax jurisdictions cost Africa $38bn (£25bn) a year, says a report produced by a panel he heads.

“Africa loses twice as much money through these loopholes as it gets from donors,” Mr Annan told the BBC.

It was like taking food off the tables of the poor, he said.

The Africa Progress Report is released every May – produced by a panel of 10 prominent figures, including former Nigerian President Olusegun Obasanjo and Graca Machel, the wife of South African ex-President Nelson Mandela.

‘Highly opaque’

African countries needed to improve governance and the world’s richest nations should help introduce global rules on transparency and taxation, Mr Annan said.

The…

View original post 363 more words