Africa's Financial Drain: Nigeria Bears 20% of the Burden
The Federal Government of Nigeria revealed that Nigeria loses approximately $17.72 billion annually to illicit financial flows (IFFs). This is equal to approximately 20% of the $88.6 billion that Africa loses annually to illegal financial outflows.
UN Conference Highlight: Nigeria Speaks Out
The revelation was made by Dr. Doris Uzoka-Anite, Nigeria's Minister of Industry, Trade, and Investment, during her address at the United Nations Headquarters in New York. She delivered it before the Fourth International Conference on Financing for Development (FfD4), emphasizing the crippling impact of illicit financial flows on sustainable development in the continent.
Illicit Financial Flows: A Threat to Development
Addressing the topic "Safeguarding Sustainable Development Finance by Tackling Illicit Financial Flows and Combating Financial Crimes",
Uzoka-Anite stressed that these illicit outflows have degrading impacts on Nigeria's ability to provide basic infrastructure and public services.
"These illicit financial flows are a major impediment to our growth, robbing our citizens of essential services and infrastructure," the minister explained. "We must work together to ensure that our resources serve our people."
Nigeria's Strategic Response to Tackling Illicit Flows
To address this challenge, Nigeria has subscribed to multilateral cooperation, particularly by supporting initiatives like the Common African Position on Asset Recovery (CAPAR) and the UN Framework on International Tax Cooperation. These initiatives aim to improve the transparency and governance of financial systems.
Call for Global Reforms and Transparency
Uzoka-Anite urged improved transparency in beneficial ownership and increased cross-border exchange of information to render asset recovery more effective.
True progress requires justice in global financial systems. We must collaborate to create mechanisms for retaining our resources within our economies—financing development and improving lives," she said.
A Commitment to Sustainable and Fair Financial Systems
The minister reaffirmed Nigeria's commitment to work with international partners to build a more just global financial architecture.
"Together, we can ensure that we stop the diversion of valuable resources and engage them to build our nations," she added. "We owe it to ourselves, our children, and generations unborn to take decisive action against illicit financial flows and financial crime."
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