By George Ozalla
At the just concluded 2025 Conference on Illicit Financial Flows (IFFs), it is revealed that Nigeria loses a staggering $18 billion annually to illicit financial flows (IFFs), an ugly trend that has severe consequences for the country’s economic development, worsening
Minister of State for Finance, Dr. Doris Uzoka-Anite, stressed the need to protect and retain wealth generated within the country’s borders. She cited an estimated $18 billion annual loss to IFFs due to profit shifting and aggressive tax avoidance practices by multinational corporations.
Auwal Ibrahim Rafsanjani, Executive Director of Civil Society Legislative Advocacy Centre (CISLAC), spotlighted the importance of promoting ethical banking and finance practices to tackle IFFs. He emphasized the work of Fair Finance Nigeria (FFNG), an initiative led by CISLAC in collaboration with Fair Finance International and Oxfam Nigeria, aimed at promoting fair finance practices within Nigeria’s banking and corporate sectors.
The Federal Inland Revenue Service (FIRS) spearheaded the two-day event, bringing together various stakeholders to discuss strategies for tackling the menace. FIRS Chairman, Zacch Adedeji, described IFFs as a critical challenge facing the country’s economy, depriving it of resources needed for inclusive development.
The issue of IFFs is not unique to Nigeria, as Africa loses over $50 billion annually to such flows. Experts at the Nigerian Mining and Geosciences Society’s 60th Annual International Conference highlighted that Nigeria and Egypt are among the top countries affected by IFFs in Africa.
In light of these findings, experts are calling for strengthened institutions, improved governance, and enhanced transparency to combat IFFs and retain locally generated wealth in Nigeria and Africa. The fight against IFFs requires a collaborative effort from government, civil society, and the private sector to ensure that Nigeria’s wealth is utilized for the benefit of its citizens.
