05/06/2026
CSPR Hosts CSO Engagement Meeting on the United Nations Framework Convention on International Tax Cooperation.
The Civil Society for Poverty Reduction (CSPR), with support from Norwegian Church Aid (NCA) / DanChurchAid (DCA), today convened a Civil Society Organisations (CSOs) Engagement Meeting on the United Nations Framework Convention on International Tax Cooperation (UNFCITC) in Lusaka.
The meeting brought together civil society actors, tax justice advocates, and key institutional stakeholders including representatives from the Ministry of Finance and National Planning, and Tax Justice Network Africa to deepen understanding and coordination on global tax governance reforms and their implications for Zambia.
A Shift in Global Tax Governance:
Discussions highlighted that the UNFCITC represents a historic shift in international tax rule-making, moving away from long-standing OECD-dominated frameworks toward a more inclusive, intergovernmental system where all countries, including developing economies like Zambia, have an equal voice.
Participants reflected on how this shift responds to long-standing concerns over:
- Base Erosion and Profit Shifting (BEPS) by multinational corporations
- Illicit Financial Flows (IFFs) draining domestic resources
- Limited taxing rights over digital and cross-border services
- Structural inequalities in global tax negotiations
Why This Matters for Zambia:
Presentations underscored that Zambia continues to face significant revenue losses through complex tax arrangements and profit shifting, particularly in the extractive and digital sectors.
Key issues discussed included:
- Transfer pricing challenges in the mining sector
- Taxation of digital platforms such as streaming services, e-commerce, and ride-hailing apps
- Emerging concerns around artificial intelligence, automation, and crypto-assets
- Weaknesses in current “physical presence” rules that limit Zambia’s taxing rights.
Participants noted that these gaps directly affect Domestic Resource Mobilisation (DRM), limiting financing for health, education, social protection, and national development priorities under the 9th National Development Plan (9NDP).
Key Policy and Negotiation Issues Raised:
Technical discussions explored some of the most contested areas in the UNFCITC negotiations, including:
- Source vs residence taxation, ensuring taxation where value is created
- Digital economy taxation, adapting rules to modern business models
- Dispute resolution mechanisms, including concerns around arbitration fairness and accessibility
- Transparency and exchange of information, improving access to tax data for developing countries
- Illicit financial flows prevention, strengthening global enforcement cooperation.
CSOs emphasized that while capacity building is important, it must be accompanied by reform of global rules, not just technical support.
Towards a Coordinated Civil Society Position:
A key outcome of the meeting was the strengthening of consensus around the need for a coordinated Zambian CSO advocacy position on the UNFCITC process.
This builds on CSPR’s earlier work with partners, where a comprehensive CSO position paper was developed outlining priorities such as:
- Source-based taxation rights.
- Strong anti-tax avoidance and anti-abuse rules.
- Public country-by-country reporting and transparency.
- Gender, social, and climate-responsive tax systems.
- Enhanced regional and global cooperation.
Participants agreed that CSOs must remain:
- Informed on evolving global tax negotiations
- United in advocacy messaging
- Actively engaged with government processes through structured dialogue
- Focused on linking tax justice reforms to development outcomes
The meeting also emphasized the importance of collaboration between CSOs and government institutions to ensure Zambia speaks with a strong, unified and evidence-based voice in international negotiations.
The engagement reaffirmed that fair and inclusive global tax governance is not only a technical issue, but a development and equity imperative. Strengthening Zambia’s position in global tax rule-making is key to reducing illicit financial flows, improving domestic revenue collection, and financing sustainable development.
CSPR remains committed to advancing tax justice, strengthening civic engagement, and ensuring that global tax reforms translate into tangible benefits for Zambian citizens.
