Secret, corrupt mining deals have been a major issue in the DRC. But the Democratic Republic of Congo is planning on removing key regulations in its mining sector that has banned politicians and senior army figures from owning mining rights, reported Global Witness Thursday. The policies were initially set in place to avoid conflict of interest issues, which were part of the DRC's 2002 mining law. “For too long Congo’s mining sector has been vulnerable to exploitation by corrupt politicians and businessmen.” The new regulations are expected to remove these safeguards while also loosening transparency provisions. These include removing provisions requiring the publication of contracts, a lack of transparency and scrutiny in the bidding process, allotting too much discretion to the mines minister, leaving the state-owned enterprises largely unregulated, and no articles limiting the army's involvement in the minerals trade. The changes open up the industry up to corrupt deals, according to the research and advocacy group Global Witness, which campaigns for transparency in the mining, logging and oil and gas sectors. The group added that these deals could cost the country billions of dollars. “For too long Congo’s mining sector has been vulnerable to exploitation by corrupt politicians and businessmen. Attempts to remove conflict of interest provisions will make it easier to strike dodgy deals that deny the Congolese treasury billions of dollars,” said Nathaniel Dyer, Congo team leader at Global Witness. “Congo cannot afford to miss this chance to tighten up its regulations so that its people benefit from the country’s mineral wealth.” Secret mining deals have been a major issue in the DRC, even with the regulations in place to increase transparency and stop corruption. According to Global Witness, the government of the DRC has lost at least $1.36 billion due to secret deals, “equivalent to twice the country's annual health and education spending combined.” The DRC mining industry has attracted mining companies from all over the world, particularly Canadian companies. The country is said to have at least $25 trillion dollars in untapped mineral deposits, mainly cobalt, diamonds, gold and copper. The move comes as business leaders and government officials gathered in the DRC's eastern city of Kinshasa, ahead of a major mining conference next week. Hundreds of mining professionals, global partners and investors will meet in the DRC Wednesday for the annual Katanga Mining Week, in the major mining province of Katanga in the south of the country. Source URL |
