• About Us
  • Archives
  • SWG Registration
Samrack Media
Mahiga Homes
  • Home
  • ALL NEWS
  • Diaspora
  • Africa
    • AFRICA
    • KENYA
  • BUSINESS
    • BUSINESS
    • INVESTMENTS
    • REAL ESTATE
    • TECHNOLOGY
  • Politics
  • Health
    • HEALTH
    • EDUCATION
  • Religion
  • People
    • PEOPLE
    • LIFESTYLE
    • RELATIONSHIPS
  • Obituaries
  • Videos
  • Events
No Result
View All Result
  • Home
  • ALL NEWS
  • Diaspora
  • Africa
    • AFRICA
    • KENYA
  • BUSINESS
    • BUSINESS
    • INVESTMENTS
    • REAL ESTATE
    • TECHNOLOGY
  • Politics
  • Health
    • HEALTH
    • EDUCATION
  • Religion
  • People
    • PEOPLE
    • LIFESTYLE
    • RELATIONSHIPS
  • Obituaries
  • Videos
  • Events
No Result
View All Result
Samrack Media
No Result
View All Result

Kenya tops illicit financial activities in Africa – report

samrack by samrack
February 5, 2018
in Africa, Business, Diaspora, Finance, FINTEC, Kenya, Kenya Diaspora News, News, U.S Diaspora
A A
0
Kenya tops illicit financial activities in Africa – report
Share this
FacebookTwitterPinterestEmailWhatsAppLinkedIn
A currency dealer counts Kenya shillings at a money exchange counter./COURTESY

Kenya tops illicit financial activities in Africa – report

Kenya is the leading tax haven in Africa, Financial Secrecy Index released on Friday last week by the Tax Justice Network has revealed

The country registered a financial secrecy score of 80 per cent, sixth highest in the world after Vanuatu, Bahamas, Paraguay, Maldives and Bolivia which scored 88.6, 84.5, 84.3, 81.1 and 80.3 respectively.

This means that the country is a corridor for illicit financial activities like tax evasion and money laundering, hurting its revenue collection targets. Kenya missed its revenue collection target by Sh40 billion in last financial year and the margin is expected to widen this current financial year.

Global Financial Integrity and Brookings estimates show that 0.7 per cent of total trade in Kenya is lost through illicit outflows.

Although Switzerland and USA led the world in overall Financial Secrecy Index Value (FSIV), scoring 1590 and 1398 respectively, Kenya was the only African country that appeared on top 30 list of 112 jurisdictions reviewed in the index

Kenya is ranked position 27 with FSIV of 337 , followed by Liberia which scored 277 and ranked position 38 globally. Other African countries ranked in the report include Mauritius at position 49, South Africa 50, Tanzania at 75 while Ghana, Botswana and Gambia came in at position 95, 103 and 106 respectively

However, the index ranks Kenya below South Africa in share of the global market of offshore financial services. South Africa constitute to 0.18 per cent of global share while Kenya commands a paltry O.04. Mauritius and Liberia hold 0.02 per cent each.

US is leading the world in concentration of international financial centres at 22.3 per cent followed by UK and Germany at 17.37 and 5.13 per cent respectively

According to the Tax Justice Network, the index is a result of over a year of research by a dedicated team using information on the legal, administrative, regulatory, and tax structures of the jurisdictions assessed.

Surveys were sent to the Ministries of Finance and the Financial Intelligence Units of all 112 reviewed jurisdictions which included targeted questions about the jurisdiction’s tax and regulatory system.

This ranking is likely to steam opposition against the proposed Nairobi International Financial Centre which anti illicit financial flows crusaders believe will turn Kenya into a tax haven like Panama, Luxembourg and Bahamas

Last year, Jared Maranga, policy-lead tax and investment at Tax Justice Network said that the NIFC law signed by President Uhuru Kenyatta in July last year brings about the issue of secrecy as several provisions relating to its establishment fall short of transparency and accountability.

“It will undermine the raising of revenues domestically, making Kenya a financial secrecy jurisdiction and is subject to abuse given that neither the regulations nor the incentives have been indicated,” said Maranga.

Even so, Treasury CS Henry Rotich has defended the financial hub which is expected to be set up in Upper Hill, saying that it will attract more foreign investors in the country.

Speaking during the launch of Africa Foresight report compiled by Brooking late last month, Rotich said that that the government will increase efficiency in curbing illicit financial flows in its plan to increase domestic revenue to 25 per cent of GDP

According to Africa Foresight report, Sub Sahara Africa loses at least $50 billion (Sh5 trillion) every year to illicit financial flows, mis pricing and other forms of capital flight, with countries like Togo and Liberia losing 94.2 and 83 per cent of total trade to illicit outflows

Generally, 5.3 to 9.9 per cent of Sub Saharan Africa total trade is lost in illicit financial outflows

Even so, the survey ranked Kenya as the least affected country in Africa. Only 0.7 per cent of its total trade is lost to illicit outflows

However, the African Development Bank survey on illicit financial flows in Kenya dubbed ‘The High 5’ show that the country lost over $10.6 billion in accumulated illicit financial flows, a figure that is equal to 15 per cent of the country’s GDP

Source: The Star

Tags: a figure that is equal to 15 per cent of the country's GDPKenya dubbed 'The High 5' show that the country lost over $10.6 billion in accumulated illicit financial flows
Previous Post

Rev. Teresia Wairimu Kinyanjui 2018 PROPHETIC WORD

Next Post

Today marks 66 years ago on the night of 5th February 1952, Princess Elizabeth ascended to the British throne and became Queen Elizabeth at Treetops Hotel, Nyeri, Kenya

Related Posts

Michael Joseph’s Net Worth; Former Safaricom CEO & Chairman says he is not Rich
Kenya

Michael Joseph’s Net Worth; Former Safaricom CEO & Chairman says he is not Rich

August 8, 2022
Reports of eagle grabbing drone at Raila’s Kasarani rally fake
Diaspora

Reports of eagle grabbing drone at Raila’s Kasarani rally fake

August 8, 2022
IEBC chairman Wafula Chebukati addresses the press.
Diaspora

IEBC adheres to court order on manual register

August 8, 2022
ELECTION PREPARATION: IEBC chairman Wafula Chebukati addresses the media after a meeting with presidential candidates at Bomas of Kenya on May 23, 2022.
Diaspora

Activists want IEBC stopped from announcing results over forms 34A, 34B

August 8, 2022
Peris Mbaria invites you to her CD Launch Aug 21st 2022 at 4pm, NEEMA Church Lowell
Kenya

Peris Mbaria invites you to her CD Launch Aug 21st 2022 at 4pm, NEEMA Church Lowell

August 6, 2022
Dickson Macharia alias Deco after his arrest on Wednesday, August 3, 2022. Image: SCREEN GRAB
Kenya

August 4, 2022
Next Post
Today marks 66 years ago on the night of 5th February 1952, Princess Elizabeth ascended to the British throne and became Queen Elizabeth at Treetops Hotel, Nyeri, Kenya

Today marks 66 years ago on the night of 5th February 1952, Princess Elizabeth ascended to the British throne and became Queen Elizabeth at Treetops Hotel, Nyeri, Kenya

Please login to join discussion
AUGUST 21 2022 @ PCEA NEEMA CHURCH AUGUST 21 2022 @ PCEA NEEMA CHURCH AUGUST 21 2022 @ PCEA NEEMA CHURCH
Job Openings Below is a list of current job openings at Northeast Clinical Services, Inc.. Please click on an opening in the list to view details and apply. Job Openings Below is a list of current job openings at Northeast Clinical Services, Inc.. Please click on an opening in the list to view details and apply. Job Openings Below is a list of current job openings at Northeast Clinical Services, Inc.. Please click on an opening in the list to view details and apply.
ADVERTISEMENT
ADVERTISEMENT

Latest News

Michael Joseph’s Net Worth; Former Safaricom CEO & Chairman says he is not Rich

Reports of eagle grabbing drone at Raila’s Kasarani rally fake

IEBC adheres to court order on manual register

Activists want IEBC stopped from announcing results over forms 34A, 34B

Peris Mbaria invites you to her CD Launch Aug 21st 2022 at 4pm, NEEMA Church Lowell

Fida: Siaya, Kisumu and Nairobi most unsafe counties for women

Ruto Videotaped Crying Uncontrollably During a Prayer Session

DPP highlights election offences to avoid on poll day

Court orders IEBC to use manual register to identify voters

We are grateful for your monthly or one-off donations To Samrack Media: Cash App No: 781-888-8770 $SAMRACK001

Money

New Digital Skills Helps Unemployed Kenyan Youth Earn In Cryptocurrency

New Digital Skills Helps Unemployed Kenyan Youth Earn In Cryptocurrency

by samrack
November 19, 2021
0

New Digital Skills Helps Unemployed Kenyan Youth Earn In Cryptocurrency This week sees the launch of a new initiative to equip...

A simple guide to Government Bonds investing in Kenya

A simple guide to Government Bonds investing in Kenya

by samrack
September 17, 2021
0

A simple guide to Government Bonds investing in Kenya A treasury bond (T-bond) is a medium term to long term...

Politics

Ruto Videotaped Crying Uncontrollably During a Prayer Session

Ruto Videotaped Crying Uncontrollably During a Prayer Session

by samrack
August 4, 2022
0

Ruto Videotaped Crying Uncontrollably During a Prayer Session An amateur video showing Deputy President William Ruto crying uncontrollably during a...

Court orders IEBC to use manual register to identify voters

Court orders IEBC to use manual register to identify voters

by samrack
August 4, 2022
0

Court orders IEBC to use manual register to identify voters •Justice Mugure said if the decision is allowed to remain...

  • About Us
  • Archives
  • SWG Registration

© 2021 SAMRACK - Diaspora News & Updates; design by: Samrack.

No Result
View All Result
  • Home
  • ALL NEWS
  • Diaspora
  • Africa
    • AFRICA
    • KENYA
  • BUSINESS
    • BUSINESS
    • INVESTMENTS
    • REAL ESTATE
    • TECHNOLOGY
  • Politics
  • Health
    • HEALTH
    • EDUCATION
  • Religion
  • People
    • PEOPLE
    • LIFESTYLE
    • RELATIONSHIPS
  • Obituaries
  • Videos
  • Events

© 2021 SAMRACK - Diaspora News & Updates; design by: Samrack.

Page generated in 0.827 seconds. Stats plugin by www.blog.ca