Corruption is hurting Africa, having negative impacts on economic development, social services delivery, welfare and people’s rights.
When you hear that Africa loses an estimated R1.6 trillion annually due to illicit financial flows (IFFs), you have to be concerned for the continent.
IFF analyst Isaac Agyiri, addressing the SA Federation of Trade Unions’ political school this week, said corruption is hurting Africa, having negative impacts on economic development, social services delivery, welfare and people’s rights.
Tax and legal expert Agyiri said “about 60% of Africa’s IFFs-related woes were due to individuals and companies having employed tactics to evade tax collection in several countries on the continent, including South Africa”.
Some of the practices included money laundering, human and drugs trafficking, further driven by corruption and bribery – “all the things that earn Africa a bad reputation globally”.
Agyiri said: “Tax evasion has made it impossible for Africa to collect enough tax.”
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If SA and other nations on the continent could curb these losses, imagine how this money could be used to – better education, health care and infrastructure, while also creating new employment ventures.
We need to crack down on this immediately. It’s really that simple.
