Carter Center Urges DRC to Reform Mining Tax System for Greater Revenue

In a newly released study titled “Between Hopes and Realities: A Critical Look at the Tax Regime of the Revised Mining Code of March 2018 and Its Impact on Revenue Maximization,” the Carter Center has called on the Democratic Republic of Congo (DRC) to overhaul its mining tax system and modernize tax administration to better capitalize on the country’s vast mineral wealth.

Published on April 30, the report comes seven years after the revised Mining Code came into effect.

According to Romain Ravet, the Carter Center’s country representative in the DRC, the current tax framework is not delivering the level of revenue that should be expected from such a resource-rich sector.

“In several respects, the tax regime actually hinders revenue maximization due to its rigidity, overlapping tax rates, and the sheer number of fiscal and parafiscal levies,” Ravet said.

The study notes that recent increases in mining revenue are largely attributed to rising global commodity prices and higher production volumes—not improvements in tax policy or collection.

Key barriers identified in the report include:

Complex and difficult-to-implement tax instruments

Fragmentation within the tax administration

Political interference

Lack of a government-led tax modeling system for mining projects

To address these challenges, the Carter Center recommends that the Congolese government:

Revise the Mining Code’s tax framework and consider legislative reforms to reduce the number of tax payments

Introduce more flexible and appropriate tax instruments

Establish a permanent government commission dedicated to mining project modeling

Modernize tax administration by digitizing services, evaluating staff performance, and implementing regular training

This study is part of the Carter Center’s “Citizen Dialogue for the Maximization of Mining Revenues” initiative, which promotes transparent and inclusive discussions between civil society, tax authorities, and the mining sector to enhance the governance of mining revenues.