SADC Plagued by Illicit Financial Flows
- Namibia Southern Times Africa 2016
- 3p.
The article talks about calls on SADC member states to join hands in combating illicit financial flows in the region. Illegal capital outflows manifest in the form of tax evasion, crime and corruption, among other activities. IFFs reduce the efficiency of resource allocation through the focus on activities with the highest pre-tax returns to those with best after-tax returns. This focus tends to reduce value creation, which is very important for, especially when a country wants to shift its production structures from primary to secondary activities.
