Mining investors in Zambia were putting pressure on the government to reduce their taxes. For decades, they had used economic pressure to influence the government. They paid taxation at 31 percent in Zambia compared to other countries where they paid 51 percent.
Surging world prices for copper could have been bringing in much needed revenue to Zambia. Caritas studies showed that the people of Zambia were not benefiting as much as they should be from the mining. Caritas supported government plans to increase the taxation to 47 percent, and with the support of civil society, the government stood firm.
“We used our grassroots knowledge to show that people were not benefiting from the mines,” said Edmund Kangamungazi, Economic Justice Officer of Caritas Zambia.
Caritas also focuses on trying to get the government to adopt pro-poor policies by providing detailed research and carrying out advocacy work in parliament and through the press.
It monitors government policies with networks in local communities where the policies are supposed to be benefiting the local people, using tools developed by Caritas members in the UK and Ireland (CAFOD and Trocaire).
“In 2008, the government suggested a 600,000 kwacha tax rebate to help meet rising living costs,” said Mr Kangamungazi. “But our evidence showed that this would not be enough to meet those costs. The government increased the tax rebate to one million kwacha. Enough to feed a family.”