Mali has just adopted a new mining code that is going to benefit the state in a big way. The code will ensure that more revenue goes into the state coffers and that the state and private interests in new mining projects are increased. This move comes after an internal audit revealed that Mali, which is one of Africa’s largest gold producers, was not getting a fair share of profits and was granting too many tax breaks. Under the new code, the government will have a 10% stake in mining projects and the option to buy an additional 20% within the first two years of commercial production. Locals will also have the opportunity to own a 5% stake in new projects. These changes will increase state and private interests in new projects from the current 20% to 35%. In addition, certain tax exemptions have been abolished. The mining sector has remained attractive to international miners, despite political instability and security concerns. The approved code is expected to generate an extra 500 billion CFA francs ($803 million) per year for the state and increase the mining sector’s contribution to the economy by up to 20% of GDP, compared to the current 9%. Major gold producers like Barrick Gold and B2Gold have been expanding their operations in Mali. This is great news for the country’s economy!