SLMMDMC Puts Additional Pressure on The Tight Fiscal Resources of Govt …World Bank Slams

Sierra Leone Economic Update produced the World Bank has slammed the newly created Sierra Leone Mines and Minerals Development Management Corporation (SLMMDMC).
SLMMDMC was created by the government of Sierra Leone for the purpose of government participation in the mineral resources of the country.
“Currently, the SLMMDMC which qualifies as a state-owned enterprise is financed through the national budget and places additional fiscal pressure on the tight fiscal resources of government,” the report revealed.
The World Bank Report stated that the government of Sierra Leone established the SLMMDMC and the Mineral Wealth Fund with the objective of allowing the country to benefit from its enormous resources.
“The SLMMDMC was established by an Act of Parliament to manage the country’s mineral resources and negotiate new mining contracts in a joint venture arrangement where mining activities are conducted through a project company, the MWF which is both a commercial entity and a sovereign wealth fund that manages mining revenue from its operations,” the report said.
It furthered that the SLMMDMC has identified high value assets including the Tonkolili North Iron Ore Deposit which are to be developed with an interested private partner.
The report stated that both the SLMMDMC and the Mineral Wealth Fund have started operation with a functional board, noting that the Board of SLMMDMC consists of Five Ministers including the finance minister who also sits on the Board of the Mineral Wealth Fund, the Governor of the Bank of Sierra Leone and three individuals appointed by the President.