Capital Flight and Poverty Reduction in Africa Nkurunziza, J.D. Capital Flight, Poverty Reduction, Investments, Capital Outflow This paper investigates the impact of capital flight on poverty reduction through the investment and growth channel. It uses two approaches. First, the Incremental Capital-Output Ratio (ICOR) approach is used to estimate additional income that would have been generated if all capital flight had been invested domestically. The second approach uses capital stock to derive the potential effect of capital flight on income per capital and on poverty. Massachusetts Political Economy Research Institute (PERI) 2014 2014 Text 50p. iffoadatabase.trustafrica.org/iff/WP365.pdf WORKINGPAPER SERIES Number 366