The impact of trade-based money laundering on economic growth & development
Posted: 10 July, 2024 Filed under: Nasubila Ng’ambi, Yeabsira Teferi | Tags: AfCFTA, Africa, African Continental Free Trade Area, cultural development, economic development, Global Financial Integrity, illicit financial flows, right to economic development, Sustainable Development Goals, TBML, trade based money laundering Leave a comment
Author: Nasubila Ng’ambi
LLB (cum laude) Nelson Mandela University
Introduction
The African Continental Free Trade Area (AfCFTA) is the African Union’s flagship regional economic integration project.[1] The AfCFTA aspires to lift 30 million people out of extreme poverty and to increase Africa’s income by $450 billion by 2035.[2] These goals are set to give effect to both Agenda 2063 and the UN’s sustainable development goals (SDGS).[3] However, these audacious goals are not without challenge as there are numerous risks associated with free trade areas (FTA) such as trade based money laundering (TBML). This article seeks to explore the implications of TBML on economic growth and development. Further, the article will highlight the need for an effective framework to ensure that TBML is mitigated.
Corruption in Ethiopia: Causes and remedies
Posted: 4 July, 2013 Filed under: Daniel Behailu Geberamanuel | Tags: Africa, constitution, corruption, credibility, EPRDF, Ethiopia, Federal Ethics and Anti-corruption Commission of Ethiopia, Global Financial Integrity, human rights, independent judiciary, press freedom, rule of law, separation of power, seperation of power 7 Comments
Author: Daniel Behailu Geberamanuel
PhD student at Law Faculty of Giessen University, Germany
It is often heard (from all concerned) that corruption levels in Africa and particularly in Ethiopia are of concern. Corruption is not only a violation of law and order, but a massive cause for the exacerbation of poverty already entrenched in the society. It frustrates any genuine effort exerted towards societal and economic development both by the government and the people. The ill sides of corruption are not to be undermined nor should efforts to fight it be played up as a political game just to prolong the life of a specific regime posing as the “good guy”. The fight against corruption must not be a tactical step for public attention and a ploy to win the sympathy of people. The fight against corruption by all Ethiopian stakeholders should investigate the root causes of corruption to address the problem sustainably for the following reasons: Ethiopia is cultivating tens and thousands of graduates from universities and technical colleges every year and the lack of jobs is becoming a serious concern.
According to a report by Global Financial Integrity, Ethiopia lost close to $12 billion since 2000 to illicit financial outflows. This is simply disaster in the making. The government must be serious in its fight against corruption because the government’s credibility and whatever level of legitimacy it might have been commanding is put to question. Therefore, in the government cadres’ language, “fighting corruption ought to be a survival issue”.
Every time I hear of anti-corruption efforts in my country, my pain is immense and is summed up by a phrase in the Amharic language “sedo masaded”, roughly translated as “trying to arrest after cutting lose”; the question is why “cut lose”? Why not fix the fence? Why not shut the door to thieves and the corrupt? The question for all of us is how to secure the house. The solution lies in “institutionalising the rule of law”; subsequently, if anyone subverts the system, all due processes of the law must ensue and no one should be considered or consider themselves above the law.
AfricLaw 