The Suriname government says revenues from the mining sector have increased by more than 100 percent in the first quarter of this year, partly due to the payment of the increased royalty in the small-scale gold sector.
Finance and Planning Minister, Armand Achaibersing, told the National Assembly that mining revenues increased by 126 percent in the first quarter of this year compared to the corresponding period in last year from SRD 677.1 million (One SRD=US$0.04 cent) last year to SRD 1,529.1 million in 2022.
“After negotiations, the major mining companies have shown their willingness to make monthly deposits rather than later in the year. In addition, the small-scale gold companies have applied the increased rate of 4.5 percent in 2022 when paying their royalties,” he said.
Achaibersing noted that because of the state’s precarious financial situation, the major mining companies have shown a willingness to meet their obligations to help bolster the state treasury.
He said after negotiations with Staatsolie, Newmont, and Rosebel Goldmines, resources have been made available, such as the solidarity contribution of US$10 million, prepayment of income tax, and monthly dividend payments by Staatsolie.
He said US$20 million has been transferred by Newmont and Rosebel Goldmines as financial support. Newmont’s deposit has been registered as a “gift,” while that of Rosebel Goldmines will be credited with 2022 income tax.
In addition, Staatsolie has deposited a bonus of US$12.7 million in connection with offshore activities. According to the minister, the mining sector contributed more than 47 percent to total government revenue in 2021 and it was of acute importance to make public finances manageable by reducing unnecessary and questionable expenditure.
He said as the manager of all state funds, the Ministry of Finance and Planning ensures that budget implementation is in line with the approved budget and budget discipline is observed. Instructions have been issued to point out to all line ministries and sub-states and state-owned enterprises that they must substantiate ex-post that the funds have been spent efficiently.
“In 2021, through prudent financial policies, the government has achieved a surplus in both the primary and aggregate accounts, compared to deficits in decades past,” Achaibersing said.
CMC/
