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Mineral Taxation And Resource Nationalism In Zambia, Sangwani Patrick Ng’Ambi

Southern African Journal of Policy and Development

This article examines the resource nationalism cycle in Zambia. The resource nationalism cycle has episodically plagued investors in resource rich nations. Host states, lacking the financing and technical know-how, invite foreign investors to explore and exploit their vast natural resources. The former offer all sorts of fiscal incentives to appear attractive to the latter. Once operations commence and the resource experiences a sustained upward growth trend, the host state may retract the fiscal incentives previously offered, or simply nationalise assets, in a bid to exercise greater control over their natural resources and maximise the benefits accruing from high prices. The …