Sierra Leone parliament passes budget
Sierra Leone’s parliament passed its 2011 budget on Tuesday, with new infrastructure investments that will see its deficit rise to 5.7 percent of gross domestic product, the ruling party said.
Finance minister Samura Kamara originally announced the budget, which will increase capital and development outlays by 38 percent, in November. He then forecast the deficit at 492.1 billion leones. “The budget passed by a resolution, after the third reading,” Ibrahim Dundu, chief whip of the ruling All Peoples’ Congress party, told Reuters.
The budget includes cuts to mining taxes and levies, a move aimed at encouraging further private investment in the West African country.
The corporate tax rate for mining companies — a levy raised on declared income after deductibles — will be reduced from 37.5 percent to 30 percent. Import duty for raw materials will also fall from 5.0 to 3.0 percent.
Sierra Leone is becoming a hotspot for iron ore mining with a few companies jostling for position.