Mali and Niger end Long-Standing Tax Treaties with France

Map of Mali with its capital Bamako

At the beginning of the month, Mali and Niger jointly put an end to two long-standing tax treaties with France. We know that French companies in Mali or Niger (and in other of the zone Franc countries) do not pay taxes in the African countries, but rather back in France, even though the generated revenues come 100% from the host African country. Imagine the economic losses for these countries? In most of these countries, the French companies will extract, say in the case of mining, the resources, without as much as building a single road or hospital for the local populations. One can thus understand the logic behind Mali and Niger governments’ actions. Some news media (mostly western ones) claim that now Malians or Nigeriens leaving in France will be subject to double taxation… but how many billion-euros generating Malian or Nigerien companies are there in France? The answer is ZERO! There goes that pointless argument about a few (granted there are a few) Malian citizens in France having to pay taxes, while Orano (old Areva) makes billions in Niger without paying taxes to the Niger government! Such an unfair treaty really needed to go!!!

Excerpts below are from BNN.

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Map of Niger

In a significant shift in fiscal and diplomatic relations, Mali and Niger have taken a stand against France by revoking two long-standing tax cooperation treaties. Dating back to 1972, these agreements were initially crafted to circumvent double taxation, fostering mutual assistance in tax matters.

The decision, outlined in a joint statement from the governments of Mali and Niger, hinged on France’s ‘persistent hostile attitude’ towards both nations and the ‘unbalanced character’ of the agreements. These treaties, according to the statement, have led to substantial financial deficits for both West African countries.

This move signals a potential reconfiguration of the international tax landscape and geopolitical alignments in the region, particularly between these nations and France. The revocation of these treaties also depicts a wider discontent with France’s influence in West African affairs.

Niger’s junta has also scrapped two key military agreements with the European Union aimed at combating violence in Africa’s Sahel region. Moreover, Mali, Burkina Faso, and Niger have withdrawn from the G5 anti-jihadist force, further intensifying the region’s security concerns.

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