Ethiopia: PM says govt officials with offshore accounts under investigation

ESAT News (May 15, 2018)

Ethiopia’s Prime Minister, Abiy Ahmed, said government officials who have offshore bank accounts are under investigation.

Abiy Ahmed

The news by the Ethiopian News Agency did not say if the Premier had mentioned the countries where the monies were allegedly stashed, but quoted Dr. Ahmed as saying that countries are cooperating in the investigations.

According to the annual corruption perceptions index of 2017 recently released by Transparency International, Ethiopia is still one of the countries at the bottom of the index with worsening illicit financial flows, bribery, money laundering, tax evasion and avoidance among others.

Ethiopia scores 35 out of 100, putting it as one of the bottom ten countries.

Transparency International says the country could have benefited from a vibrant media and civil society in order to prevent corruption.

“Illicit financial flows have pervasive effects on developing countries’ social and economic development. In many countries, the volume of financial outflows exceeds the inflows of aid and foreign direct investment due to corruption, money laundering, tax evasion and avoidance,” says Transparency International.

Data shows Ethiopia lost about USD 16.5 billion between 1970 and 2008. Global Financial Integrity says Ethiopia has lost US$11.7 Billion in illegal capital flight from 2000 through 2009. Since 2010, it is said that the country might have lost over USD 10 billion.