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Economy

Magufuli orders audit of mining firms' earnings over taxes

Tanzania President John Magufuli. FILE PHOTO | NMG
Tanzanian President John Magufuli. FILE PHOTO | NMG 

Tanzania's President John Magufuli has ordered a special audit of mining companies to determine if they pay their fair share of taxes to the East African country.

Mining contributes 3.5 per cent of the gross domestic product (GDP) in Tanzania, Africa's fourth-largest gold producer, but the government wants the sector to pay more taxes.

The order for an audit follows an abrupt ban on exports of gold and copper concentrates.

"The government wants to verify if the relevant taxes are actually being paid," Tanzanian Prime Minister Kassim Majaliwa said in a statement late on Tuesday.

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