The Mozambican government intends to strengthen its capacity in taxation of the extractive industry, execution of tax audits and development of tax policies and legislation.
To this end, the Ministry of Economy and Finance (MEF) and the Government of the United Kingdom have just signed, in Maputo, a memorandum of understanding for the implementation of the Tax Efficient Taxation for Inclusive Development (TEDI) Project, expected to last until 2024.
The signing of the document renews the confidence in the Government’s public finance planning and management tools, which translates into support for economic programs and policies aimed at operationalizing Mozambique’s tax policy and administration reform agenda.
Speaking during the ceremony, the Minister of Economy and Finance, Adriano Maleiane, said that with the signing of the instrument the two Governments establish the provisions and objectives for the use of a non-financial aid donation from the United Kingdom in the amount not exceeding eight million pounds.
According to Adriano Maleiane, the project is part of the more robust and inclusive economic.
In her turn, the UK High Commissioner, NneNne Iwuji-Eme, said that the signing of this document reinforces the long partnership for development existing between the two countries in building a more robust and inclusive economic growth through the increase of tax revenue collection and its application for the expansion of social services and promotion of economic activity.
The Efficient Taxation for Inclusive Development Project operates on the tax collection side and will provide technical assistance and material support to strengthen the Mozambican government’s capacity to tax the extractive industry, carry out tax audits, and draft tax policies and legislation.
The Taxation and Economic Governance Program, which aims to contribute to the increase of tax revenue collection in an efficient and equitable manner, and to the allocation of financial resources for the promotion of growth.
