Comment on new series of Panama Papers reporting impact on Africa of offshore tax arrangements
ActionAid’s Tax Power Campaign Manager, Savior Mwambwa, commenting on a new series of Panama Papers reports on the impact of offshore tax arrangements on Africa, said:
“This latest revelation from the Panama Papers shows how the massive use of tax havens is depriving Africa’s poorest countries of resources desperately needed to fight poverty.
“Africa is estimated to lose US$50 billion to illicit financial flows. Schools and hospitals in some of the world’s poorest countries are being starved of resources as money is siphoned out of the continent and into secretive tax havens.
“The international tax system is broken with poorer countries often the worst affected. The latest revelations underscore the urgency for developed countries and the G20 to respond to long overdue calls from developing countries to make public, country-by-country, transactions of multinational companies; to have transparency of beneficial ownership through public registers; and for the establishment of an intergovernmental tax body under the UN where developing countries are granted an equal voice.
"If the challenge of global tax dodging is to be tackled there must be far reaching reform of global tax rules to give poor countries a voice and end tax haven secrecy.”