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Regional Initiative against the Illegal Exploitation of Natural Resources

Formalization of the Artisanal and Small Scale Mining Sector

Formalization is a process that seeks to integrate the Artisanal and Small Scale Mining (ASM) Sector into the formal economy. Effective formalization increases transparency and thereby helps reduce fraud. This applies to the extraction, processing and trading of minerals within the Member States. Further activities include capacity building in the respective ministries and agencies of Member States and the setting up of the required infrastructure for pilot tracking of mineral supply chains.

The main purpose of this tool is to encourage the transformation of the artisanal mining to improve taxation systems, provision of extension services and capacity building. It aims at improving regulations, particularly in terms of simplifying registration and accounting requirements and increasing productivity.

The process of formalization includes the development or adaptation of mining (and other) laws or policies to address the challenges facing ASM. There is growing official recognition by ICGLR that ASM is an activity that can make significant contributions to poverty alleviation but that it needs support in order to overcome associated social and environmental challenges.

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