Ghana Lost $54B to Trade Illicit Flows in a Decade (Report Urges Customs Reform, Data Analytics)
According to a Global Financial Integrity (GFI) report, Ghana lost an estimated US$54.1 billion to trade-related illicit financial flows (IFFs) between 2013 and 2022. This makes it the third most affected country in Africa. The study found that almost 28% of Ghana’s trade may be misinvoiced or not counted, especially when it comes to gold, cocoa, and oil exports. Ghana lost $20.5 billion in trade with developed countries. Ghana lost more than Côte d’Ivoire ($47.7 billion) and Kenya ($47.5 billion), but South Africa ($478 billion) and Nigeria ($77.7 billion) lost more in absolute terms. The report talks about the human cost, saying that countries with high IFFs spend less on health and education. It also says that even getting back some of the $54.1 billion could pay for schools, clinics, and infrastructure. GFI says that customs systems should be updated with data analytics, beneficial ownership registries should be set up, trade data should be stored on blockchain, AfCFTA should make regional cooperation stronger, and laws should be enforced to make trade misinvoicing a crime, punish those who do it, and protect whistleblowers. Ghana’s economic sovereignty and goals for inclusive growth are still at risk without these kinds of changes. However, effective measures could turn illegal outflows into domestic development.
