Mozambique has just published the 7th Extractive Industry Transparency Initiative (EITI) Reconciliation report covering the years 2015 and 2016, covering 83 companies in 2015 (of which 60 are mining and 23 oil companies) and 80 companies in 2016 (55 mining and 25 oil companies). The report, which for the first time analyzes, in some depth, the licensing process in the mining sector (minerals and hydrocarbons), points out weaknesses that encourage corruption, harming the Mozambican state.
CIP's analysis of the 7th report shows that the management of the extractive sector is not adequate, so the Mozambican state may be losing significant revenue from this situation.
Therefore, the low payment of taxes is intrinsically linked to the lack of organization in the mining sector, on the one hand, which does not allow for the collection of complete and timely information. On the other hand, due to the lack of capacity of the State to carry out audits, making use of the information provided by the companies.
