In a continued endeavor to develop a sustainable economic environment and boost the country’s steel and cement industries, the House of Representatives is investigating a 17-year tax cut proposal from President Ellen Johnson-Sirleaf.
The tax cut deal is part of an Investment Incentive Agreement which has a seventeen (17) year agreement term with a value of Two Hundred Million United States Dollars (US$200,000,000.00).
The draft law is entitled: “The Investment Incentive Agreement between the Republic of Liberia and the TIDFORE Investment Company and Liberia Steel and Cement Mining (LICEMCO).”
According to the bill, LICEMCO will develop and operate steel and cement factory (plant) in accordance with International Mining Standards & Laws and prudent business practices.
In a letter to the House of Representatives, read on July 4, 2017 in the House’s Chamber, the Liberian leader said the investor under the incentive agreement will completely construct, acquire and install proposed steel plant infrastructure and equipment at the facility (plant).
The President also argued that if the Legislature ratified the 17-year’s tax cut proposal of LICEMCO “The purpose of this Investment Incentive Agreement is to boost Liberia’s steel and cement industries, provide for safety procedures, create jobs at all levels, cause the investor to enhance its corporate social responsibilities, generate needed revenue for the country and promote economic development and sustainability.”
“Mr. Speaker, this Investment Incentive Agreement that is in line with Liberia’s relevant laws and public policy appertaining thereto, compliments the development plan of the mining and steel sector of Liberia.”
The President further said: “As government commits to creating jobs and a sustainable economic environment, the passage into Law of this Investment Incentive Agreement will demonstrate Liberia’s commitment and implementation in that endeavor.”
“I therefore request your kind and timely ratification into law of this Legislature.”
Members of the House of Representatives mandated its Committee on Investment and Lands, Mines and Energy to investigate and report within two weeks.