President Nana Addo Dankwa Akufo-Addo has called on his colleague leaders to intensify their efforts in the implementation of the findings of the Mbeki Commission on illicit financial flows.
According to him illicit financial flows undermined the ability of the continent to finance its development projects and everything possible must be done to curb the situation.
"Despite the recommendation and call to action, we have struggled to curb effectively these flows, the persistence of illicit financial flows undermines our ability to finance development projects, weakens governance structures and perpetuates inequality," he stressed.
President Akufo-Addo made the call at the opening of the 6th African Union (AU) Mid-Year Coordination Meeting in Accra yesterday.
The meeting which brought together heads of state from the continent was on the theme: "Educate an African fit for the 21st century: Building Resilient Education Systems for Increased Access to Inclusive and Lifelong Quality and Relevant Learning in Africa".
President Akufo-Addo said it was imperative for countries on the continent to strengthen their legal and regulatory frameworks and also enhance international cooperation to combat illicit activities.
He said by reclaiming these resources, the continent could boost its development financing and ensure that the wealth generated within Africa remained in Africa to benefit its people.
In addition, President Akufo-Addo said the AU must pay attention to the proposal for African countries to deposit 30 per cent of their salary reserves into the Africa Foreign multinational banks.
He said rather than allowing these resources to lie passively in foreign banks with often negative interest rates, depositing it in the Africa foreign multinational banks would strengthen the continent's self-reliance and reinforce the capacity of Africa's financial institutions.
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"By retaining a sizable portion of our reserves within the continent, we can enhance the stability and liquidity of our financial systems, providing a stronger foundation for economic growth," he emphasised.
In addition, he said this approach would empower African banks to support large scale development projects and create a more resilient financial ecosystem that was less dependent on financial institutions.
"I am hopeful that the EU Commission will complete soon, its evaluation of the proposal, so that action can be taken on it as quickly as possible," he said.
The Chairperson of the AU, Mohamed Ould Ghazouani, on his part said the Union was working to mobilise about $100 billion to support export-based companies on the continent to increase their production.
He said effective coordination between the AU and the regional economic communities or blocs was a determinant factor for achieving continental integration and aid in attaining the Agenda 2063.
Mr Ghazouani explained that a strong economic integration among African countries would enable the AU to present a stronger voice at the United Nations General Assembly, the International Monetary Fund, G20 nations and the World Bank.
To this end, he said the African Continental Free Trade Area (AfCFTA) had presented a conducive platform for African countries to increase bilateral trade and foster economic integration.
He said the continental body was also expediting efforts to support African nations leverage the use of Artificial intelligence, energy transformation, financial reforms among others to improve their economies, fast-track economic growth and integration.
