THE FINANCE MINISTER DRIBBLES INTO ZAMBIA’S 🇿🇲 18 AREA & SCORES OWN GOAL
By Miles B. Sampa, MP
December 6th, 2022
Listening to the Finance Minister Dr Situmbeko Musokotwane this morning explain why Government has forgone the dividends (shares) rights at Kansanshi Mine in preference for loyalty rights (MRT) is saddening. Callous and inconsiderate to our future generation.
As l have pointed out before, it’s almost about a crime in the imperialist mine owners religion for them to pay reasonable tax to Zambia and Africa. They have to get our minerals as free as possible.
In the Minister’s first new dawn Budget in 2022, he gave away atleast $260 in potential tax revenue. In the next 2023 budget , he has again given the mine owners another $130M out of the existing government revenues from the mines by thinking with the MRT.
Now the Kansanshi owners have duped our government to give up shares for royalties and our minister of finance has agreed. Kansanshi does not want to have any interest in the profits they are making because we will be forced to question their revenues and cost structures. So our government has now ‘legalized’ transfer pricing.
It’s a myth that under mineral royalty arrangement ZCCM-IH will be guaranteed a quarterly fixed income from Kansanshi mine based on our copper dug out and sold.
In the times Kansanshi Mine will choose not to put anything in the MOF ‘begging’ bow, they will either decide to not dig anything out of the ground or not sell anything for a month or two. Ever heard of stock piling ba Musokotwane 🤔
Once they do that, MOF will have no money to pay salaries for civil servants or buy medicines for our hospitals. Dr Musokotwane will then run 🏃🏾♂️ back to Kansanshi Mine for some ‘ advance’ money. Kasanshi will then say can only do so from the same mineral royalty tax if percentage is reduced in the 2024 budget. At the rate he has been moving, he will agree.
It’s the classic story of the camel 🐪. When we gave them back some of the MRT in the 2022 budget, now they want us to give up everything and until they pay zero to the Zambian people. Zambia has been dribbled yet again.
I personally coined the SI 35 in 2012 and it was meant to track mines costs and revenues from digging the copper to selling it in Switzerland 🇨🇭 or Asia so that Zambia does not lose out on profits made and dividends therein. Dr Musokotwane while in opposition Opposed the SI35 until it was shelved by the listening then government.
Today now as current Finance Minister, he is crying about dividends not being paid by same mines from their realized (& hidden) profits. In the process he has scored an own goal 🥅 by giving up our Kansanshi Mines shares meant for our (his inclusive) great grand children. He has been duped with some MRT promissory note but Zambia has lost all legal rights to the mine.
Qatar 🇶🇦 World Cup results:
Kansanshi Mine ..10 goals: Zambia 🇿🇲…0 goals.
MBS06.12.2022