Africa loses $88bn annually through illicit financial flows – Akufo-Addo

President Nana Akufo-Addo has called for the use of tax policies, among others to check illicit financial flows out of the continent.

The president said illicit financial flows cost Africa close to 100 billion dollars which denies the continent the needed resources to facilitate growth and development.

Speaking during the closing session of the maiden African Prosperity Dialogues dubbed, ‘the Kwahu Summit’, the president said African states can only stop illicit financial flows out of the continent if they collectively institute measures.

“We need to pay serious attention to and arrest illicit financial flow out of the continent which is estimated at $88 billion annually depriving Africa of significant resources which could be used to support the continent’s development agenda.

“We must urgently and collectively institute comprehensive and unambiguous tax policies to combat tax-motivated illicit financial flows, strengthen legal and law enforcement systems and bring together national agencies to stem such flows.”

Meanwhile, President Akufo-Addo has urged African countries to take inter-trade seriously to enable the continent to resist future shocks.

President Akufo-Addo said the decision by some 44 countries to sign up for the African Continental Free Trade Area (AFCTA) is a clear indication that the continent is ready to trade among itself.

He further promised to engage the remaining 10 African States to ensure the full participation of all African States.

“It is encouraging to note that as of November 2022, 44 members states have ratified the African Continental Free Trade Area (AFCTA), this is strong evidence of the growing political will and commitment of the leadership of the continent to achieve market integration in Africa, and it’s our duty to engage to ensure the full participation of all members states.”