Contribution to the economy: Afghanistan

Afghanistan 2012-13 EITI Report provides insights about the artisanal and small-scale mining sector and suggests that there is unclear information about its actual contribution to the economy.

There is very little information on artisanal and small-scale mining (ASM) in Afghanistan, an industry which by some estimates is thought to employ some 50,000 miners directly and up to 450,000 Afghans indirectly. Afghanistan´s 2012-13 EITI Report includes research into the sector which suggests that there is also much confusion as to the sector´s actual contribution to the economy.

The report notes that it is necessary to determine how much revenue the government is collecting from the ASM sector. Since the government is collecting revenue from the ASM sector and products are being exported which are liable to taxes or fees, information on the sector contribution would be of interest for the government agencies managing the mining sector. Among other things, the report notes that lapis lazuli mines in Badakhshan contributed with some USD 630,000 in tax payments in 2014, or approximately the same amount collected by the Customs office of the Ministry of Finance for the whole mining sector in 2012.

The 2012-13 EITI Report recommended that future EITI reporting provides more information on the ASM sector and its integration into the state government.

The report further recommends that the Ministry of Mines and Petroleum, the Ministry of Finance and Afghanistan EITI should examine the identified revenue flows to the government from ASM. The report was recently published and the government and the MSG have not yet had an opportunity to consider the recommendation.