Zambia is losing $3 billion a year from corporate tax dodging according to a new report launched by War on Want. The sum is equivalent to nearly twice Zambia’s spending on health and education.
‘Extracting Minerals, extracting Wealth: How Zambia is losing $3 billion a year from corporate tax dodging ’, examines the Zambian operations of Glencore, Vedanta and Associated British Foods – companies based in the UK or listed on the London Stock Exchange.
The report focuses on the complex corporate structures and mispricing that robs Zambia of revenue that could fund essential public services. It highlights how the ability of companies to get away with tax dodging depends on the willingness of governments around the world to allow them to do it.
Owen Espley, Economic Justice Campaigner at War on Want, said:
“This is a staggering sum of money to lose. In a country where 74% of the population live on less than $1.25 a day, this scale of tax dodging is depriving the Zambian people of revenue that could fund vital healthcare, public services and anti-poverty programmes.”