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Vallabhbhai Shamjibhai Patel tells about the ongoing construction of the Surat Diamond Bourse

The under-construction Surat Diamond Bourse (SDB) is India's second diamond trading hub based at Surat, Gujarat, spread across 35.54 acres with more than 4,000 offices for national & international traders. On the onset, the project which...

Today

The strategy of regulating the Russian jewellery industry

At the General Meeting of the Russian Jewellers Guild Association held in April, two principally important documents were adopted: The Strategy of Regulating the Jewellery Industry of Russia and The Charter of a Good Faith Taxpayer. Besides, the issues...

13 june 2018

Our first priority is to better understand artisanal and small-scale mining - Elodie Daguzan

The Diamond Development Initiative (DDI), the organization dealing with the traditional diamond mining, recently announced the appointment of Élodie Daguzan as its first Goodwill Ambassador. Ms. Daguzan, who currently works as head of communication...

04 june 2018

Zimnisky on De Beers’ Lightbox: It’s a strategic, bold move that will benefit the entire natural diamond industry

De Beers shocked all and sundry end of May when it announced the launch of a new company called Lightbox Jewelry, which will market a new brand of laboratory-grown diamond jewellery in September. This effectively meant that the group had departed from...

01 june 2018

Tracking the provenance and lifecycle of a product is a natural and necessary evolution in our industry

A senior executive with a demonstrated history of working globally at management and board levels, Marcus ter Haar has been the Managing Director at Okavango Diamond Company (ODC), Botswana for about 10 months now, prior to which he held the...

28 may 2018

Bank of Botswana calls for tax reform before diamonds deplete

06 june 2018
Botswana should reform its tax regime before revenue from diamonds start depleting, according to a study done by the country’s central bank.

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Image credit: Bank of Botswana


Botswana relied on diamonds for almost a fifth of its gross domestic product, however, the gemstones were expected to dwindle over the next 20 years.
“There is recognition that growth in diamond revenues has plateaued and might recede in the future,” Bloomberg cited the central bank as saying.
“It is thus important to explore alternative and sustainable sources of financing for public infrastructure.”
The central bank said specific tax reforms include removing widespread exemptions on value-added tax and investor concessions.
“We have recommended the expansion of the tax base through, among others, reducing the number of VAT-exempted items and replacing these with targeted social transfers,” said Tshokologo Kganetsano, director of research and f inancial stability.
Botswana had several long-standing tax concessions for investors, including the International Financial Services framework that provides for a 15 percent corporate tax rate, instead of the standard 22 percent and conditional exemptions on capital gains tax, withholding tax and other rates, according to Bloomberg.

Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished

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