Trade Investment | |
Trade Investment | |
5175 VIEWS | |
![]() |
Monday, November 12, 2018 10.00AM /
State House
At the Paris Global Peace Forum, world leaders gathered to commemorate the centenary anniversary of the
Armistice signed on November 11, 1918 between the Allied Forces and Germany in
the forest of Compiegne in France to end the First World War.
As part of the event there was a session that discussed “Illicit
Financial Flows And Corruption: The Challenge of Global Governance” with
President Muhammadu Buhari of Nigeria, the African Union Champion on
Anti-corruption as the keynote speaker.
Here is the full speech of the President at the event;
I am delighted to be part of the inaugural edition of the Paris Peace
Forum and would like to commend the Government of France for this laudable
initiative.
We also thank France for inviting Nigeria to participate in the forum on
the sidelines of the Centenary Celebration of the Armistice. It is important to
recall that although Nigeria was not independent at the time, the fact remains
that it had participated in the war efforts.
Nigeria contributed a company of riflemen and support services to the
war under the Royal West African Frontier Forces.
I should like on this Remembrance Day, to pay tribute to the sacrifice
and bravery of all those who had fallen in battle and the pain and suffering of
those they left behind.
More than half a million Africans fought in the trenches of the First
World War for France alone. There was bitter fighting also in east and southern
Africa and around Cameroon and Nigeria. We shall not forget.
I believe this Forum would provide the needed opportunity for
knowledgeable exchange and sharing of best practices on the challenges
militating against the much needed good governance in many countries of the
world. It is on this premise that my presentation will dwell on “Illicit
Financial Flows And Corruption: The Challenge of Global Governance”.
Distinguished Participants,
The cancerous effects of Illicit Financial Flows and corruption on the
socio-economic development of countries are glaringly evident. The negative
impact and ramifications of Illicit Financial Flows are many-sided.
The list which is long and ever-growing, includes:
a. Draining of foreign exchange reserves;
b. Reduction of tax/revenue collection;
c. Poor investment inflows due to near absence of credibility,
transparency and policy stability.
Illicit financial flows escalate poverty by denying the citizens the
benefit of the resources meant for development.
This is a crime of opportunity which thrives most in permissive
environments. Such outflows further undermine the rule of law, stifle trade and
worsen macro-economic conditions.
These reprehensible acts are being perpetrated by several international
tax havens and secret jurisdictions, which facilitate the operation of:
a. Disguised corporations;
b. Anonymous trust accounts;
c. Fake charitable foundations;
d. Money laundering and transfer pricing mechanisms.
Indeed, Illicit Financial Flows have exacerbated poverty and inequality
in many societies of the world. Thus, concerted and multi-jurisdictional
efforts must be deployed to frontally tackle the menace.
Combating corruption has been a defining feature of our Government. Upon
assuming office on 29th May, 2015, we made fighting corruption one of the three
pillars of our Administration’s priority programmes, given the fact that
corruption was threatening the very foundation of our national life,
socio-economic development, security and even the consolidation of our
democracy.
We continue to demonstrate zero tolerance for corrupt practices and
non-conformity conduct in public life, by confronting corruption head-on. This
is predicated on the fact that we remain steadfast in our commitment of
ensuring integrity and ethical conduct in the task of governance. We are
mindful of the primacy of leadership by example in this regard.
Our efforts at fighting corruption are firmly within the limits of the
rule of law, in spite of the interest-forcing strategies of those who chose to
discountenance the fundamental value of compliance with the laws of the land.
With the progress we have made, we feel the need to ensure that we put
enduring institutional frameworks in place for action and measures that will
consolidate our achievements in the fight against Illicit Financial Flows and
corruption.
In the circumstances, strengthening the institutional capacity of
anti-corruption bodies has been accorded due attention. For us, therefore,
effective institutions and political will are strong counter-measures against
corruption and Illicit Financial Flows.
In addition, we introduced the Whistle-Blowing policy, whereby
information on the violation of financial regulations, mismanagement of public
funds and assets, financial malpractices or fraud as well as theft can be
reported to authorities.
This policy is geared towards ensuring public accountability and
transparency, and it has yielded dividends, as we have recovered billions of
Naira from corrupt persons and companies.
We have also redirected recovered funds to the development of critical
infrastructure and programmes that will benefit our people. Funds and assets
recovered through our actions, will be deployed in delivering the Sustainable
Development Goals (SDGs).
At the continental level, the African Union also launched the war
against corruption and bestowed on me the honour to champion the cause. In this
connection, our priorities for international cooperation as a continent will
focus on the following:
a. Strengthening international cooperation on asset tracing, recovery
and repatriation;
b. Enhancing cooperation between the African Union and the United
Nations’ anti-corruption monitoring mechanisms through stronger engagement; and
c. Widening the understanding and relevance of anti-corruption efforts
towards the realization of Agenda 2063 and the Sustainable Development Goals.
Appropriate legislation and policies which promote transparent financial
transactions should be encouraged.
In addition, regulatory institutions and agencies should be strengthened
to fight corruption. Nigeria has a good example in this regard with the Tax
Appeal Tribunal inaugurated recently. The Tribunal arbitrates between tax
payers and government in order to ensure equity and fairness in tax
administration.
In accordance with relevant international statutes, asset return is
unconditional. It is a commitment which members of the international community
must abide by.
Nigeria, therefore, reiterates its commitment to all existing
international legal frameworks to enforce anti-corruption measures, including
the recovery and return of stolen assets.
Distinguished Participants,
While acknowledging the tremendous progress that has been achieved
through the enactment of global instruments, some fundamental technical issues
remain unresolved.
These revolve around the formulation of policy and regulatory frameworks
that cut across different jurisdictions. We must not lose sight of the role
played by secret companies, banks and law firms, all too often based in
developed economies and their related offshore centres.
Recent studies reveal that flaws in the global financial system enable
corrupt individuals to hide details of their financial dealings under the noses
of governments and law enforcement agencies. This underscores the need to
urgently address the issue of Mutual Legal Assistance, as well as continental
legal frameworks, in the context of safe havens for illicit transfers.
Distinguished Participants,
Our experience in Nigeria is that financial crimes, such as corruption
and fraudulent activities, generate enormous unlawful profits which often prove
so lucrative that the threat of a jail term is not sufficient to deter
perpetrators.
A more powerful deterrent is to ensure that profits and assets generated
from illicit financial flows and corruption are recovered and returned to
countries of origin.
This is not to under-estimate the value of strong institutions. It only
indicates that asset recovery represents significant deterrence compared to the
traditional focus on obtaining conviction by the law enforcement agencies of
the countries of origin.
Distinguished Participants,
As we take stock of the strengths and weaknesses of domestic, regional
and international mechanisms against Illicit Financial Flows, I seize this
opportunity to recall the Global Declaration Against Corruption made in London
in 2016 and our commitment thereto.
Among other things, the Declaration encapsulates our collective
commitment to the principles of Open Government Partnership, especially the
National Action Plans to actualize beneficial ownership transparency, enhance
the capacity of Financial Intelligence Units (FIUs), reinforce Independent
Reporting Mechanisms and support the activities of the Global Forum on
Transparency and Exchange of Information for Tax Purposes. We should remain
resolute in our commitment to the aforementioned goals.
Similarly, we must crack down on safe havens for corrupt assets. I also
advocate sanctions by professional bodies against transactional middlemen
(lawyers, bankers, brokers, public officials, etc.) who facilitate Illicit
Financial Flows.
I would like to reiterate that the Government of Nigeria remains open
and is ever willing to continue to identify and share experiences and
strategies to give life to the ideas that will lead to winning the fight
against corruption.
Esteemed Ladies and Gentlemen,
Finally, let me reiterate the importance of unity and collective action.
It is only together that we stand a better chance to win the fight against the
menace of Illicit Financial Flows and corruption.
I thank you for your patience and attention.
Related News
1.Nigeria to Host
Africa Trade Forum on November 2nd and 3rd, 2018
2.Globalization
Trends And The Impact On FDI Decisions
3.Assessing The
Threat To FDI Impact Of The LADOL-Samsung Feud
4.Business
Investment Expo For SMEs
5.NIPC Issues
Report of Investment Announcements, Half Year 2018
6.16 African Banks
Sign The China-Africa Inter Bank Association Establishment Agreement
7.7th FOCAC
Summit: Chinese Group Ruyi to Invest $200m in Nigeria
8.NOTN Launches
Process of Preparation of a 21st Century Trade Policy for Nigeria
9.Ghana’s Trade
Protectionism Raises A Question
10.UK Aims to be
the G-7 Leading Investor in Africa by 2022-Theresa May, Prime Minister
11.IPPA Roundtable
Harps on Policy Measures to Address Illicit Trade in Nigeria
12.Invest in
Nigeria as Recent Reforms foster Recovery - Deloitte
13.The Initiative
for Public Policy Analysis (IPPA) to hold Policy Roundtable on July 25, 2018
14.The Nigeria-
China Trade Relations to Boost FDI in Nigeria
15.G7 Summit 2018:
Commentary On Africa And Full Text Of Communiqué
16.Nigeria-China
Trade: Having Banking Representative Offices in Beijing
17.Strengthening
Africa’s Gateways to Trade
18.How Effective
Will Africa’s Continental Free Trade Area Be?
19.EIB and AfDB to
support private sector investment in Nigeria with DBN backing
20.AfDB Pledges
Full Support Towards Success of Continental Free Trade Area