H.E Moussa Faki Mahamat led engagements between the African Union Development Partners Group (AUPG) and the AUDA- NEPAD
The African Union Commission Chair, H.E Moussa Faki Mahamat led an engagement between the African Union Development Partners Group (AUPG) and AUDA-NEPAD on the Agency’s transition under the AU institutional reform process.
The AUC Chairperson highlighted that the transformation of NEPAD into the AU Development Agency is one of the cornerstones of the AU reforms. He gave an update on the reform process and further elaborated on the mandate of the AUDA-NEPAD and its delegated responsibility to spearhead the implementation of Agenda 2063. The AUC Chair emphasized the importance of the decision of the African Union Assembly which made provisions for the AUDA-NEPAD to establish a “flexible financing mechanism” to finance the implementation of priority development projects, which necessitates the mobilization of solid and diverse partnerships.
The AUDA-NEPAD Chief Executive Officer, Dr Mayaki outlined the functions of the Agency, 2020 – 2023 strategic priorities and resource needs. He articulated on the AUDA-NEPAD’s consolidated responsibilities emphasizing the function that relates to undertaking the full range of resource mobilisation and flexible financing modalities for the implementation of AU flagship projects.
The Dialogue was convened by the co-chairs of the AUPG, the Ambassador of Denmark to the AU, Ms. Karin Poulsen and US Ambassador to the AU, Ms. Jessica Lapenn who recently took up the role of co-chair. The Dialogue was a first step by the AUDA-NEPAD towards strengthening its relationship with development partners in support of Africa’s socio-economic development and implementation of Agenda 2063.
The Dialogue provided an opportunity for the AUPG to deepen its understanding of the AUDA-NEPAD as the technical arm of the Union through an engagement with AU leadership. Clear messages were delivered by H.E Moussa Faki Mahamat and AUDA-NEPAD Chief Executive Officer, Dr Mayaki to make a distinction on the different yet mutually reinforcing roles of the Commission and Development Agency in driving Africa’s development Agenda.
Advocating for the Accelerated Implementation of the African High-Speed Rail Project
Participants at the webinar on the African High-Speed Railway Project which was held on 29 July, called on African Union and leaders of the continent to fast track implementation of the high-speed rail to support the implementation of the continental free trade area.
Moderated by Mr Olawale Rasheed of the African Railway Roundtable, the webinar was organised by the African Union Development Agency-NEPAD (AUDA- NEPAD) and facilitated by the agency’s Project Advisor Louis Napo Gnagbe, with top railway and infrastructure leaders on the continent participating.
Mr Raila Odinga, the AU High Representative for Infrastructure Development in Africa who chaired the event challenged the continent to walk the talk, stressing that, “If Europe and North America could transform their railway systems in the time they did, Africa can even do better now.”
Mr Odinga noted the many railway developments across Africa said the continent has spent a lot of time on planning and emphasised that now is the time to hit the ground running as the world will not wait any longer.
Citing the new free trade area, the African Continental Free Trade Area (AfCTA), the AU High Representative said transport logistics and interconnectivity are critical to the success of the project, decrying the very low connectivity among Africans due to poor transport connection.
The Director of Infrastructure and Energy at the AU Commission, Mr Cheikh Bedda noted the strategic importance of the high-speed rail to Africa’s development. He informed the meeting participants that the Commission is set to push ahead with the implementation process.
While noting the disruption occasional by the COVID-19 pandemic, Mr Bedda said the commission leadership is committed to transforming the pandemic into opportunity, stressing that the commission is open to credible collaboration and partnership to make the project a reality.
Among the many recommendations of the webinar was the need to launch implementation of the high-speed project after the design and planning issues have been sorted out.
Other takeaways included the need to possibly shorten the implementation timetable; fast tracking of ratification of the Luxembourg protocol for rolling stock acquisition; engagement with African private sector; the need to create African Railway standard; enforcement of localisation to boost job creation, and; the urgent need to explore internal financing through sovereign wealth and pension funds, among others.
Chairperson of the African Union Commission Moussa Faki Mahamat delivers a joint press conference with the High Representative of the Union for Foreign Affairs and Security Policy after their meeting at the EU headquarters in Brussels on May 15, 2017. / AFP PHOTO / JOHN THYS
Tax abuse, money laundering and corruption plague global finance
Governments must do more to tackle tax abuse and corruption in global finance, says a panel of former heads of state and government, past central bank governors, business and civil society leaders and prominent academics.
The findings come in an interim report published today by the High-Level Panel on International Financial Accountability, Transparency and Integrity for Achieving the 2030 Agenda (FACTI Panel), established by the 74thPresident of the UN General Assembly and the 75th President of the UN Economic and Social Council.
The report says governments can’t agree on the problem or the solution, while resources that could help the world’s poor are being drained by tax abuse, corruption and financial crime. Estimates include:
- $500 billion losses to governments each year from profit-shifting enterprises;
- $7 trillion in private wealth hidden in haven countries, with 10% of world GDP held offshore;
- Money laundering of around $1.6 trillion per year, or 2.7% of global GDP.
Global finance controls haven’t kept pace with a globalized, digitalized world. The FinCen Files involving $2tn of transactions revealed this week how some of the biggest banks have allowed criminals to move dirty money around the world. They are the latest reports from investigative journalists showing the system to regulate dirty money has major gaps.
“Corruption and tax avoidance are rampant. Too many banks are in cahoots and too many governments are stuck in the past. We’re all being robbed, especiallytheworld’spoor,”saidDr. Dalia Grybauskaitė, FACTI co-chair and former president of Lithuania. “Trust in the finance system is essential to tackle big issues like poverty, climate change and COVID-19. Instead we get dithering and delay bordering on complicity,” she said.
Criminals have exploited the pandemic, says the report, as governments relaxed controls to speed up healthcare and social protection. “Our weakness in tackling corruption and financial crime has been further exposed by the COVID-19,” said Dr. Ibrahim Mayaki, FACTI co-chair and ex-prime minister of Niger. “Resources to stop the spread, keep people alive and put food on tables are instead lost to corruption and abuse,” he said.
The FACTI Panel calls for a more coherent and equitable approach to international tax cooperation, including taxing the digital economy, and more balanced cooperation on settling disputes.
A launch event for the interim report will bring the FACTI Panel chairs together with high-level representatives from Member States. The Panel hopes the interim report will generate debate among policymakers and consensus on recommendations to be included in a final report to be published in February 2021.