African tax agencies agree to relook investor incentives

The decision was taken during the fifth ATAF general assembly that took place recently in Gaborone, Botswana attended by more than 200 officials from finance ministries and tax administrations of 30 African countries.

Policymakers attending the assembly strongly criticised ill-conceived tax incentives offered to woo potential investors, describing them as a substantial drain on Africa’s revenue. They noted that the impact of these incentives was often neither measured nor significant when compared to the foregone revenue.