The Independent Corrupt Practices and Other Related Offences Commission (ICPC) on Wednesday disclosed that Africa loses over 50 billion dollars annually to illicit financial flows, undermining development and crippling public services.
The Chairman, Dr Musa Aliyu (SAN) made this disclosure on Wednesday while speaking at the Realnews Magazine 13th Anniversary Lecture Series in Lagos with the theme: “Cybers-ecurity, Illicit Financial Flow and Agenda 2063 in Africa”.
Aliyu described the persistent outflow of illegal funds as one of the most devastating drains on Africa’s development capacity, noting that the lost resources could have been used to build schools, hospitals, roads, and other critical infrastructure.
According to him, illicit financial flows whether through tax evasion, corruption, illegal mining, wildlife trafficking, money laundering or cyber-enabled crimes, had become a silent crisis that threatened African nations’ sovereignty and the future of their youth.
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The ICPC, who also disclosed that investigations by the ICPC had uncovered cases where multinational companies manipulated trade figures and inflate costs to avoid paying taxes, also one major company found to have exaggerated expenses to reduce taxable profits, saying the amount lost would have been enough to construct a world-class hospital in Nigeria.
“These practices deny African governments the resources they need to function.
“Trade mispricing, profit shifting, and tax evasion remain some of the biggest contributors to financial leakages,” he said.
Aliyu also lamented the role of government officials who diverted public funds using multiple bank accounts, sometimes with the connivance of financial institutions.
He added that suspicious transactions moving from government accounts into private hands were often ignored by banks that failed to file mandatory reports.
Aliyu warned that Africa’s rapid digital adoption, with mobile-money usage over 50 per cent in several countries, had increased cybercrime risks, as criminals exploited weak cyber security systems.
“Cyber criminals are becoming more sophisticated. Ransomware attacks, cryptocurrency- based laundering, and mobile-money fraud are growing threats,” he said.
He added that criminal networks, often possessed more advanced technology and resources than enforcement agencies, making digital crimes harder to combat and track, especially once illicit funds left African jurisdictions.
ICPC boss also highlighted ongoing ICPC investigations uncovering ghost worker schemes, where corrupt officials manipulated payroll systems to divert salaries.
The chairman urged Nigeria’s National Assembly to pass the long-delayed Whistleblower Protection Bill, saying citizens will not come forward with critical information about corruption if they are not protected.
Aliyu also called for harmonised cyber laws across Africa, stronger asset recovery mechanisms, more robust digital infrastructure, training for law enforcement, and full implementation of the Malabo Convention on cyber security and Data Protection.
Aliyu emphasised the need for African countries to speak with one voice in demanding the return of stolen assets and looted cultural artifacts held abroad.
The chairman said that unless the continent strengthened financial oversight, improved cyber security, and tackled corruption with collective resolve, illicit financial flows would continue to undermine growth and derail Africa’s Agenda 2063 aspirations.
“We must secure our financial systems and protect our digital space. Only then can Africa realise its full potential,” he said.
