“I Won’t Condone Illicit Financial Out-Flows”

President Nana Akufo-Addo has said he will not tolerate illegal capital flight by multinational companies who fail to pay right taxes.

“The big players in our economy, the mining companies, the oil companies and the telecom companies amongst others pay their correct taxes.

“For far too long, such companies have been the source of the massive flight of capital from our country. I am a firm believer in honest profits and I will not condone illicit financial out-flows. We know how injurious this has been to Africa’s development,” President Akufo-Addo said at the 3rd CEO’s Summit in Accra.

The president’s concerns follow similar sentiments expressed by his deputy, Dr Mahamudu Bawumia a few days ago.

Dr Bawumia said the 10 per cent ‘carried interest’ government earns from mining operations is “virtually useless” and has yielded zero dividend for government over the years.

He, therefore, called for a re-examination of the country’s natural resource control and governance strategy.

He said the situation has “deprived the people of Ghana of considerable amounts of domestic revenue”.

“We, therefore, have to re-examine our natural resource control and governance strategy, our resource fiscal regime from exemptions to carried interest, and how to use our natural resources to build a better and prosperous economies.”

Dr Bawumia said this in his opening remarks at the launch of the International Monetary Fund’s Regional Economic Outlook for sub-Saharan Africa in Accra on Tuesday, 8 May 2018.

Source: ClassFMonline