Nigeria seeks advice on Illicit flows, tax evasion by multinationals

The Federal Government has taken twin issues of illicit financial flows, and tax evasion being committed by multinational companies to the international community for possible solutions that would stem the tide.

However, Nigeria has been advised to evolve an efficient disaster response ready for any eventuality, as natural disasters are currently sweeping across countries, even without significant notice.

Recently, the country received a rude shock from the earth tremor that happened in Abuja, and Kaduna State, leading to the constituting of a committee to ascertain the cause and possibility of earthquake.

The Minister of Finance, Mrs. Zainab Ahmed, made the disclosure, while speaking with journalists on the sidelines of the ongoing yearly meetings of the International Monetary Fund (IMF)/World Bank Group in Nusa Dua, Indonesia.

She said that at the Group of 24 meeting, Nigeria sought for instruments that would help the country to pursue taxes, and stem illicit flows by the multinationals, particularly the International oil companies.

“In the country, the greatest potential come from the oil sector, but the industry dominated the Thabo Mbeki’s report of illicit financial flows out of Africa, estimated at about 70 per cent and from the extractive industry.

“We did ask them to look at how we can prevent transfer pricing and stop the flows that go out of the sector. Of course, these are the revenues that we can use in the pursuit of our growth and development,” she said.

While the minister did not disclose the international community’s response, further developments towards plugging the tax leakages, maneuverings in transfer pricing, and illicit financial flows would attest to the answers.