The Federal Government on Friday sought the help of world leaders and foreign investors in tackling 70 percent illicit financial flows particularly through the extractive industries in the country and Africa.
At the G24 meeting held on the side line of the the ongoing International Monetary Fund (IMF)/World Bank Group annual meetings in Bali, Indonesia, the FG also sought the support these leaders with the right instruments that will enable it tax large corporations.
Zainab Ahmed, minister of finance, who disclosed disclosed the outcome of their meetings to journalists in Bali, said they had series of meetings, which included meetings with then Commonwealth minister, G24 as well as meetings with investors.
“Essentially that meeting was for us to ask them question and for them to better provide support for us. so for us in NIgeria, what we ask is how can they can help us in fashioning out support instrument that can help us to pursue taxes especially from a very large companies, like the international oil companies. In nigeria our greatest tax potentials are from the IOU that operates from the Oil and Gas sector”, said.
Continuing, she said “Yet this is an industry that from the report of Thabo Mbeki
, shows that about 70 percent of illicit financial flows, flows from Africa, Nigeria included, about 70 percent of that is related to the extractive industry. We did ask them to look at how we can prevent transfer pricing and how we can stop the flow that goes out of that sector because these are revenues that we can use to enhance or development it”.
At the meeting with investors, Ahmed, told investors that Nigeria is a very good place to do business,while assuring them of 13 – 14 percent return on investment.
“It was very well received. There was a lot of interest and because of that we are confident that the next Eurobond that we are trying to raise will have good outing”, she said.
Responding to questions on natural disaster, she said, “We are lucky in nigeria we have not had extremely devastating natural disasters. We have had some flood but you look at what happened in Indonesia recently, a lot of lives lost as well as property.l what we discussed is how we can be ready because these are things that are not in our control but we should be able respond very quickly to minimize the damage”.
Tags: illicit financial flows
, World Bank Group