Effects of the tax systems in Africa on investments and growth

The objective of this study is to assess the impacts of the tax system on the growth of firms within five key sectors (agriculture, tourism, mining, financial sector, and manufacturing) and small businesses, in eight African countries (Lesotho, Madagascar, Mozambique, Rwanda, South Africa, Tanzania, Zambia, and Uganda). CMI's inputs to the project aim to shed light on the link between tax policy and its administration, and the broader political economy context for business development and poverty reduction. The study is co-managed by Foreign Investment Advisory Service (FIAS), a unit within the International Finance Corporation (IFC), and the UK's Department for International Development (DFID). The country reports are/will be available on the FIAS website: www.fias.net. The final synthesis report, extracting lessons from the seven country studies, will be presented at an international tax conference in 2007.