Corporate social responsibility of the mining companies in Tanzania

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This paper sets out to examine the neglected research area of corporate social responsibility (CSR) of the Mining Companies in Tanzania, and was guided by the following specific objectives: 1) to examine tax payment compliance of the mining companies in Tanzania; 2) to explore the extent to which mining companies donate local communities services in Tanzania; 3) to investigate the compliance of environment management Act of 2015; 4) to explore the challenges facing Tanzania in enforcing CSR of the mining companies. A case study design was used and the methods of data collection were interviews and documentary reviews. 74 respondents were selected by the author through purposive sampling. The findings revealed that there is poor practice of CSR due to none compliance of the mining companies on paying tax, environmental pollution in Tighthe river in north Mara, inadequate compensations to the relocated local communities in Tanzania as well as low contribution of mining companies to the National economy that have turned the Country into resource curse. Also, it was noted that some challenges such as weak legal enforcement and lack of government stake in the mining companies resulting into myth of mining companies’ social responsibility in Tanzania. It is therefore concluded that the government should increase its stake in Mining Companies as it is in Botswana and also establish comprehensive legal and regulatory framework for effective and efficient CSR in Mining sector in Tanzania.