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Africa being ripped off by resource seeking companies – African Development Bank
(Reuters) – Developed world mining and energy companies operating in Africa should pay more taxes to help parts the continent climb out of poverty much faster, the president of the African Development Bank said on Sunday.
“The reality is, Africa is being ripped off big time,” African Development Bank president Donald Kaberuka told reporters, a day after attending a meeting in London with other African representatives ahead of the G8 summit of rich countries on the “triple-T” agenda of trade, transparency and tax.
“Africa wants to grow itself out of poverty through trade and investment – part of doing so is to ensure there is transparency and sound governance in the natural resources sector.”
Britain hosts this year’s G8 summit, which takes place in Northern Ireland on Monday and Tuesday.
Britain has turned up the pressure on the other countries to clamp down on secretive money flows by pressing its overseas tax havens into a transparency deal and announcing new disclosure rules for British firms.
Kaberuka attended a lunch on Saturday to discuss the issues with British Deputy Prime Minister Nick Clegg, the presidents of Ghana, Guinea, Senegal, Somalia and Tanzania and the finance minister of Nigeria, all of which have energy or mining resources.
“It’s seen as a collective agenda, not just a G8 agenda, that we make sure everybody pays what is due,” Kaberuka said.
