Guinea's National Assembly has adopted a report calling for a comprehensive overhaul of the country's 2026 budget, amid concerns over the mining sector's exemptions and tax evasion. The report, which was adopted after weeks of consultations with government ministries, the Central Bank, and other institutions, includes 23 recommendations aimed at improving the country's financial management. The parliamentarians acknowledged the country's recent macroeconomic improvements, including its upgrade from category 7 to category 6 by the OECD and its sovereign rating of B+.
The mining sector is a major point of contention, with parliamentarians criticizing the exemptions and special regimes enjoyed by the sector. In 2025, the budgetary cost of customs exemptions alone was estimated at 11,793 billion GNF, equivalent to nearly 48% of customs revenue collected. When combined with the tax exemptions granted by the General Directorate of Taxes (DGI) for the first nine months of 2026, the total amount of revenue forgone by the state exceeds 15,666 billion GNF. The parliament has demanded that the government revise articles 18 and 33 of the mining and investment codes.
The lack of modern measuring equipment in the mining sector has also been highlighted as a major issue. The parliament has expressed concern that Guinea, the world's largest producer of iron and second-largest producer of bauxite, does not have the necessary equipment to accurately measure the volume and quality of its mineral exports. This has resulted in significant losses for the state, with the parliament estimating that 67% of the state's losses are concentrated in just 10 derogatory measures out of 128 identified in 2023.
The artisanal gold mining sector is another area of concern, with parliamentarians criticizing the low tax rate applied to artisanal gold miners. Until now, artisanal gold miners have been taxed at a flat rate of $50 per kilogram, equivalent to 0.06% of the gold's value. In contrast, industrial gold miners pay 5% of the gold's value, while neighboring countries such as Mali and Burkina Faso apply rates of between 3% and 4%. The parliament has demanded that the government apply a tax rate of 1% of the gold's value, which is expected to increase the state's revenue from artisanal gold mining.
The parliament's report also highlights several institutional and administrative dysfunctions that have hindered the effective implementation of the budget. One notable example is the case of the Gaming and Similar Practices Regulatory Authority (ARSJPA), which in February 2025 instructed operators to refuse to pay taxes legally voted by parliament. The parliament has deemed this move a flagrant violation of the hierarchy of norms and has demanded that the authority be brought into compliance with its status as an independent authority.
The parliament has also expressed concern over the slow pace of tax collection, with only 208 billion GNF of 1,532 billion GNF in identified tax arrears having been collected from 45 large enterprises. To recover the remaining 992 billion GNF, the parliament has suggested that the government seek the assistance of the National Gendarmerie. Additionally, the parliament has recommended that the government enforce a decree requiring importers to cover their imports with local insurance companies, which could inject around $300 million into the economy annually.
The adoption of the 2026 budget is seen as a turning point in Guinea's fiscal policy, with the parliament demanding that the government take concrete action to address the country's fiscal challenges. The parliament has emphasized that improved financial ratings and international rankings are meaningless if they do not translate into tangible benefits for citizens. The government is expected to implement the parliament's recommendations, which include measures to improve tax collection, reduce exemptions, and increase transparency in the mining sector.
Key points
- The Guinean parliament has adopted a report calling for a comprehensive overhaul of the 2026 budget, citing concerns over mining sector exemptions and tax evasion.
- The mining sector is a major point of contention, with parliamentarians criticizing the exemptions and special regimes enjoyed by the sector.
- The parliament has demanded that the government revise articles 18 and 33 of the mining and investment codes.
