Fiscal rules—permanent quantitative constraints on government finances—are an important tool to help mitigate the macroeconomic challenges associated with managing natural resource revenues. This paper sheds light on large gaps in compliance and oversight of fiscal rules, and provides policy recommendations on how fiscal rules can be further strengthened.
Government officials in the Kyrgyz Republic are considering levying a tax on the final production of gold ore and concentrate. They hope this will help add value to the country’s mineral production, which in turn might supply minerals to industry, create jobs and generate revenue.
This report responds to requests from the government of the Kyrgyz Republic and follows the Draft Kyrgyz Republic Fiscal Policy Concept 2017-2040 which advises establishing a “tax system on the basis of rent using research on international leading practices in taxation” and the exploring “feasibility of applying a corporate income tax with levying windfall tax elements.”
To help the Kyrgyz Republic realize more benefits from its endowments of minerals through the improvement of mining sector management, NRGI conducted a high-level analysis of the country’s mineral resources governance.
Four years after the Extractive Industries Transparency Initiative (EITI) began encouraging contract disclosure through its standard, this report assesses the extent to which governments of resource-rich countries have taken up the recommendation.