President Nana Akufo-Addo has advocated for the use of tax policies, among other measures, to check illicit financial flows from the continent.
According to the president, illicit financial flows cost Africa nearly $100 billion, denying the continent the resources it requires for growth and development.
The president stated during the closing session of the first African Prosperity Dialogues, dubbed “the Kwahu Summit,” that African states can only stop illicit financial flows out of the continent if they act collectively.
“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 prioritize inter-trade in order to prepare the continent for future shocks.
President Akufo-Addo stated that the decision by 44 countries to join the African Continental Free Trade Area (AFCTA) shows that the continent is ready to trade among itself.
He also promised to engage the remaining ten African countries to ensure the full participation of all African countries.
“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,” he added.
