Extractive Industries Transparency Initiative (EITI)
Extractive Industries Transparency Initiative or EITI is an international standard. It is a global coalition of governments, companies and civil society working together to improve transparency and accountability in the management of revenues from natural resources. It aims at strengthening accountability and public trust for revenues paid and received for a country’s oil, gas and mineral resources. Each implementing country creates its own EITI process adapted to the specific needs of the country.
The standard has two core components:
Companies publish what they pay and governments publish what they receive in an EITI Report.
The EITI Report
Countries that follow the standard publish what is called an EITI Report in which companies disclose information on payments such as taxes, royalties, rents and beneficial ownership. Governments disclose information on revenues received from the companies such as tax payments, licenses, contacts and production figures.
The EITI Report also contains contextual information about the country’s extractive industry. This includes the sector’s contribution to the Gross Domestic Product (GDP), exports, employment figures, the legal framework and other information. This Report, which is produced annually, is a useful tool for a country’s citizens to understand how the country’s natural resource sector and its revenues are being managed. It is expected that this will encourage evidenced based dialogue and debate among a country’s stakeholders regarding the governance of the extractive sector.
This process is overseen by a multi-stakeholder group comprising of government, companies and civil society.
Who we are
Malawi Extractive Industries Transparency Initiative (MWEITI), which is an integral part of the EITI, is an extractive sector initiative (which resonates with Malawi Government’s policy and strategy and anti-corruption focus) established by the President of Malawi, monitored and supervised by the Multi-Stakeholder Group (MSG), which comprises of Government, Civil Society Organisations (CSOs) and the Private Sector.
Role of the MSG
The Multi-Stakeholder Group (MSG) lies at the heart of the EITI and is responsible for overseeing its implementation. Some of its functions include determining the scope of Malawi EITI process, developing the work Plan and appointing the administrator to carry out the reconciliation.