Illicit financial flows threatening economic stability— Tinubu’s aide

The Special Adviser to the President on Revenue, Dr. Adelabu Adedeji, has revealed that illicit financial flows if not checked will continue to significantly erode domestic revenues, enable corruption, and threaten economic stability and sustainable development.

 

He made this known in Abuja on Thursday at a one-day hybrid sensitisation workshop on the “Published Guidelines for Private Sector Response to Illicit Financial Flows Vulnerabilities in Nigeria,” organised by the Independent Corrupt Practices and Other Related Offences Commission.

 

Adedeji said, “I am very delighted to join you today at this all-important engagement organised by the ICPC to sensitise key stakeholders and operators in the private sector on the guidelines carefully put together by a team of seasoned professionals that will help check or stem the menace of illicit financial flows in their operations, guide and further strengthen operations in the private sector.

 

“Stemming illicit financial flows has recently topped global discussion given its negative impact on global development agenda as well as the governance challenge it has generated through time.

 

 

“The IFFs, unless checked, will continue to significantly erode domestic revenues, enable corruption, threaten economic stability and sustainable development, divert money from public priorities as well as hamper government’s efforts to mobilise domestic resources and recover better.

 

“In Nigeria and across the African continent, we continue to suffer various forms of IFFs, including tax evasion and other harmful tax practices, the illegal export of foreign exchange, abusive transfer pricing, trade mispricing, mis-invoicing of services, illegal exploitation and under-invoicing of natural resources, organised crimes, and corruption,”

 

He further noted that some level of progress and successes have so far been recorded in the fight against IFFs through the concerted efforts of the ICPC’s sensitisation and capacity building of major players in the various sectors of the economy as well as the citizenry, on the menace of IFFs.

 

“These efforts have yielded great results and benefits as the nation, through these robust engagements, has plugged identified leakages and loopholes that enable IFFs by the relevant circulars issued by the Federal Government. The key focus of today’s workshop is to sensitise the key players in the private sector on the contents of the published guidelines viz-a-viz their various roles.

 

“The purpose of the published guidelines is to further assist, guide and strengthen the private sector operators in curbing IFFs. The aim of this publication is to set the path for more interventions in the fight against IFFs and IFF-related activities.

 

“Therefore, I am fully convinced that the ‘Published Guidelines for Private Sector Response to Illicit Financial Flows Vulnerabilities in Nigeria, will set a new trajectory in the fight against IFFs in the private sector angle thereby putting Nigeria at the forefront of African countries to achieve this great feat,” he added.

 

Meanwhile, the Chairman, ICPC, Prof. Bolaji Owasanoye, SAN, noted that the attainment of sustainable development goals as current global challenge is the responsibility of all nation-states.

 

Owasanoye said, “Recognising that this task will remain a mirage except the resources required are available, the international community adopted the Addis Ababa Action Agenda at the third international conference on Financing for Development (Addis Ababa, Ethiopia, 13 to 16 July, 2015).

 

“It was subsequently endorsed by the United Nations General Assembly via resolution 69/313 of 27 July 2015. The agenda enhances the prospects of attaining the 2030 agenda for Sustainable Development.”

 

He added, “Specifically, the agenda provides a new global framework for financing sustainable development by aligning all financing flows and state policies with economic, social and environmental priorities.

 

“It recommends a number of policy actions, with several specific measures for sources of finance, technology, trade, debt etc. to support achievement of the Sustainable Development Goals.”