Africa loses over $50 billion annually on illicit financial outflows

Wednesday March 21 2018

By Salome Gregory @TheCitizenTZ

Kigali. As a two-day dialogue on curbing illicit financial flows from Africa starts today, March 21, 2018, African governments have been challenged to cooperate in the endeavor to curb illicit financial flows that costs the continent a loss of about $50 billion in a year.

The director general in the Ministry of Finance in charge of capital market and investments in Rwanda, Mr Moses Kayijuka, told The Citizen soon after he officially opened the regional dialogue on curbing illicit financial flows (IFFs) from Africa that the problem was affecting the entire continent.

"In short, IFFs are the cancer that Africa must curb….Across the continent, at least $50 billion goes out it through IFFs….it is a big concern that every developing economy should be alarmed with," says Kayijuka.

The dialogue, organized by African Forum and Network on Debt and Development (Afrodad) and the Centre for Economic Policy and Properties (CEPP), brings together people from different parts of Africa.

He said Rwanda, through its Ministry of Finance and its affiliated agencies including the Rwanda Revenue Authorities and the National Bank of Rwanda, was making everything possible to curb the challenge.

The executive director for Afrodad, Dr Fanwell Bokosi, said the dialogue on IFFs aims at creating an open forum for African countries to deliberate on ways of helping the continent to fill the holes that allowing money to go out it (the continent).

"This is why the dialogue brings together different personalities….We have brought religion leaders who have an influence on moral and how people are to behave. Their views are directly connected to IFFs," he said.

The ultimate goal, he said, was to ensure that Africa reduces the amount it loses through IFFs by 50 per cent come the year 2030.