Kampala, Uganda’s capital, is growing fast. The country loses at least 2% of GDP from tax incentives and exemptions. Photo: Picture Alliance
Too much African money ends up in tax havens. If that’s going to change, Africans need to be more involved in shaping the rules governing financial flows.
Panama Papers – the biggest data leak in history uncovered 11.5 million financial and legal records dating back over 40 years, detailing how offshore companies have been secretly used to siphon money outside the gaze of tax officials and into tax havens. Extractives industry businesses in 44 out of Africa’s 54 countries were using offshore financial structures detailed in the Panama Papers, including 37 companies linked to court actions or official investigations. One of many examples of Illicit Financial Flows (IFFs) – money illegally earned, transferred or used, as well as an array of legal tax avoidance practices which results in