Angola’s diamond tax revenues grow 41.6 pct in last 2 years

Tuesday, March 3rd, 2020 00:44 |
File photo shows a craftsman polishing diamond at a mining exposition in Luanda, capital of Angola.


Tax revenues generated by diamond trading have increased 41.6 percent over the last two years in Angola, the country's National Diamond Company (Endiama) said on Saturday.

Endiama explained that the new diamond trade policy also enabled an annual growth average of 8.5 percent in gross revenues during the last two years against the 2.3 percent recorded in 2016 and 2017.

The current diamond trading reforms not only prompted growth in tax revenue, but brought competition and transparency to the sector, which until then had not existed, read the note of the company.

The previous diamond trading model, in force from 2012 to 2016 was based on preferential customers pre-authorized under pre-arranged direct sales procedure, which enjoyed exclusive access to the market to buy the precious stones in Angola, said the company.

However, Endiama added this model turned out to be seriously harmful to the treasury leading the government to approve in 2018, a new Diamond Trading Policy currently in force.

In the new model, the basic sales benchmark price is defined in advance under an agreement by the main players in the process, namely the producer, SODIAM (Angolan National Diamond Trading Company) and the independent valuator.

As a result of the new measures, the diamond trading system has recorded several improvements and positive aspects with more than 120 companies currently registered in SODIAM's client portfolio, the firm said. (Xinhua)

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