Minerals Taxation and Sustainable Development

Beyond debates on the multiplier effect of mining, it is unquestionable that one of the main economic benefits of mining for mineral rich countries is the potential tax revenue it creates. That has become increasingly important with the steep change in mineral prices and profits that occurred in the mid 2000s. Many governments have sought to capture a greater share of these increased profits. This trend raises questions about the sustainability of the recent and planned fiscal changes. Also the focus of debate has broadened from the raising of revenues towards the appropriate means of allocating these government revenues and of using them to promote sustainable development