The African Development Bank to curb illicit financial flows
As the African Development Bank (AfDB) annual meetings end in Lusaka, the national daily newspaper Times of Zambia announces that the AfDB pledges to curb illicit financial flows, while the US invite more countries to join their Partnership. Read the original article :
"The African Development Bank (AfDB) has pledged to curb illicit financial flows that have undermined Africa’s growth.
AfDB president Akinwumi Adesina pledged his bank’s commitment towards curbing illicit financial flows in Africa.
Dr Adesina said it was important for African countries to join other countries like Burkina Faso, Kenya, Liberia, Mauritius, Niger, Senegal, Sierra Leone and the United States in developing national action plans to fight illicit finance.
He said this during a panel discussion on the partnership on illicit finance action plan at the just ended 51st AfDB annual meetings in Lusaka held under the theme, “Energy and climate change”.
Dr Adesina said that over US$50 billion was being siphoned out of Africa through tax avoidance and evasion.
“With over $50 billion siphoned out of Africa through tax avoidance and evasion, we need to cooperate with countries in scrutinising financial transactions and this will go a long way in ensuring that proceeds remain within these countries,” Dr Adesina said.
He said there was need for accountability and transparency, saying that international cooperation was key.
“International cooperation is cardinal in curbing illicit flows that have undermined Africa’s growth. Money that belongs to people is being stolen …we need to be accountable and be transparent,” he said.
Dr Adesina said there was need to strengthen policies that would support efficient tax administration to mitigate tax avoidance and evasion.
United States (US) treasury assistant secretary for international markets and development Marisa Lago said there was need for countries to strengthen legislation on illicit finance to curb the vice.
“We therefore need to curb illicit financial flows by strengthening legislations on illicit finance,” Ms Lago said.
The illicit finance action plan discussion was aimed at highlighting national action plans to combat illicit finance, review member countries’ priorities for addressing illicit finance stemming from corruption and other criminal activities, and share experiences with countries interested in joining the Partnership.
Countries that form part of the Partnership on Illicit Finance include Burkina-Faso, Kenya, Liberia, Mauritius, Niger, Senegal, Sierra Leone and the US. "
Photo: Monika Flueckiger