Global Witness paints dark picture of FQM Zambia influence… Chelwa says investigation raises troubling questions over tax policy and state capture

LUSAKA – A damning report by the international watchdog Global Witness has sent shockwaves through Zambia, alleging that Canadian mining giant First Quantum Minerals (FQM) has wielded undue influence over the nation's political landscape, potentially leading to significant financial concessions. The investigation, released this week, paints a grim picture of a decades-long covert campaign by FQM and its associates, asserting that the company secretly bankrolled President Hakainde Hichilema's United Party for National Development (UPND) across several election cycles. According to the Global Witness findings, FQM, which controls over half of Zambia's copper output, reaped an estimated $771 million in tax savings between 2022 and 2025 following legislative changes to the country's mineral royalty regime after President Hichilema took office. This figure, derived from independent economic modelling commissioned by Global Witness, represents an average annual tax break of roughly 38 percent for FQM subsidiaries. The report contrasts these substantial savings with Zambia's ongoing economic hardships, including a severe drought in 2024 that left millions facing acute food shortages, and the nation's broader sovereign debt restructuring efforts. Dr. Grieve Chelwa, Chair of the Social Sciences Department, has voiced profound concerns, stating that the Global Witness investigation raises troubling questions regarding Zambia's tax policy and the spectre of state capture. The allegations suggest a nexus between political financing and favourable fiscal policy, prompting calls for greater transparency and accountability in the mining sector, which is the backbone of the Zambian economy. While Global Witness explicitly states it found no direct evidence of corruption or breaches of Zambian electoral law, the report highlights the undisclosed nature of these financial relationships and their potential impact on policy decisions. First Quantum Minerals has vehemently rejected t