(Ecofin Agency) - DRC has finally decided not to revise its 2002 mining code. The government made the announcement during the Mining Indaba Forum in Cape Town and directed toward the mining industry.

The decision resulted from complaints regarding an increase of tax and royalties, adoption of tax on super profits, consolidation of tax base of mining companies and increasing royalty rates. Many changes that these companies estimated to be counterproductive as prices of commodities such as copper, nickel and cobalt are plunging.

Despite the fact that government’s decision relieved companies represented by the chamber of mines, civil society sees it differently. Truly, they believe the government missed an opportunity to boost the revenues of this lucrative sector. IMF considered the amendment as a first step towards improved copper royalties that reach only 2% in DRC against 6% for Zambia.

Stéphanie C. Tohon