The reports tackles the UN delegated panel’s findings on the theme: Industrialization for inclusive and transformative development in Africa .In its terms of reference, the Panel was called upon to: determine the nature and patterns of illicit financial outflows from Africa; establish the level of illicit financial outflows from the continent;assess the complex and long-term implications of illicit financial flows for development; raise awareness among African governments, citizens and international development partners of the scale and effect of such financial outflows on development; propose policies and mobilize support for practices that would reverse such illicit financial outflows. The Panel expects to finalize its report by July 2014. It is, however, submitting the present progress report to the Conference of Ministers in order to indicate the progress achieved thus far and highlight some of the emerging issues that require attention. The report is also intended to provide a basis for consultations between the Panel and the Conference prior to the issuance of the final report. The progress report outlines the process undertaken by the Panel and underscores some of the issues that have emerged from its ongoing work.