Zambia

Zambia is one of the largest producers and exporters of copper in Africa. The mining is a major economic sector in the country, contributing significantly to Zambian government revenues, mainly through mining royalties and VAT. In 2017, it contributed to 29.1% of total government revenues. The Zambian’s mining sector scores weak in the Resource Governance Index 2017.

Main Minerals

  • Cobalt
  • Copper
  • Emeralds
  • Manganese

What Are We Doing in Zambia?

We are working with the Zambian Revenue Authority (ZRA) and the Ministry of Mines and Minerals Development on improving revenue collection from the mining industry.

Legal and Policy Support

We advised Zambia on revising their transfer pricing rules to prevent the profits from the sale of copper from being shifted overseas to low-tax jurisdictions.

Trainings

We have given trainings on copper and manganese pricing; on financial transactions; and on transfer pricing risk assessment in the mining sector. We have also has established an inter-agency Mineral Pricing Working Group that is developing a risk assessment framework for manganese and copper pricing.

Audit Support

We are assisting the ZRA with the analysis of a few transfer pricing cases.