Written Laws (Miscellaneous Amendments) (No 4) Bill 2021 includes proposed changes to the Mining Act RE 2019 (CAP 123) as outlined briefly below: Amended to strengthen the Government’s participation in the management of its 16% free carried interest shares in mining companies holding mining licences or special mining licences. Amended to facilitate establishment of special arrangements … Read more
The Mining (State Participation) Regulations 2020 have been published to give more details on the acquisition and control of Government’s non-dilutable free carried interest shares in a mining company. Of particular note is the right of Government to “receive a proportionate share from any repaymentof either equity, shareholding loan or third-party loan” (see Regulation 10(1)(k)). … Read more
Under the Tax Administration Act 2015, Tanzania Revenue Authority can recover a taxpayer’s tax payments by issuing an Agency Notice on third party debtors of the taxpayer to compel that third party debtor to pay the debt to the TRA. Mining Company Exemption – on 28 February 2020, the Tax Administration (General) (Amendment) Regulations 2020 came … Read more
Under the Mining (Minimum Shareholding and Public Offering) Regulations 2016, as amended by the Mining (Minimum Shareholding and Public Offering) (Amendment) Regulations 2017, a holder of a Special Mining Licence (SML) had the following obligations: To maintain a 30% total issued and paid up shares as a minimum local shareholding (see Regulation 4(1)). To obtain … Read more
The Tanzanian Parliament has enacted the new Arbitration Act 2020 which has been given Presidential assent and passed into law in February 2020 to replace the Arbitration Act 1931. The Act provides for conduct relating to “domestic arbitration”, “international arbitration” and enforcement of foreign arbitral awards and related matters. Key issues addressed in the Act … Read more
New Mining (Local Content) (Amendments) Regulations 2019 have made some changes to the Mining (Local Content) Regulations 2018, which include: Local shareholding requirement for indigenous Tanzanian companies reduced from 51% to 20%. Timeline extensions for review of local content plans by Mining Commission and Local Content Committee, starting at 60 days. Local shareholding requirement for … Read more
Mining Commission has published Guidelines for Submission of Local Content Plans 2018. Please contact us if you have any comments or questions.
Mr Job Ndugai, Chairman of the Parliamentary Select Committee formed to investigate how Tanzania benefits from gas and oil extraction, has said renegotiating of contracts with all companies engaged in oil and gas sector in the country was inevitable because under the existing PSAs Tanzania will not benefit from its natural resources. See full Article … Read more
USAID has published its Tanzania Investment Policy Assessment 2018 via its East Africa Trade + Investment Hub. Statistics are from United Nations Conference on Trade and Development (UNCTAD). See: http://unctad.org/en/Pages/statistics.aspx The set of investment policy questions that guided the research process are adapted from the World Bank Group. See http://documents.worldbank.org/curated/en/666341500008847215/pdf/117475-PUBLIC-WP-13-7-2017-12-8-30-SPIRAToolKitGuide.pdfInternational best practice is cited from several … Read more
Ministry of Industry, Trade and Investment, Dodoma has in May 2018 published a Blueprint for Regulatory Reforms to Improve the Business Environment dated December 2017. The Blueprint provides the Government’s main framework for enabling a holistic review of the business enabling environment (BEE) in order to improve the business climate in Tanzania. It presents key … Read more