Africa loses $120bln to graft

Zawya

19-06-2025

Africa loses up to $120 billion each year to corruption, a crisis that continues to undermine the continent's economic independence and development ambitions.
According to the African Union Advisory Board Against Corruption (AUABC), these losses are particularly devastating given that a large portion of the funds lost to corruption are borrowed from international lenders to support development and stabilise fragile economies.
AUABC vice-chairperson Yvonne Mutepuka said: 'The irony is painful, because we borrow heavily to finance development, only for that money to be lost through corruption. This vicious cycle keeps African nations dependent and underdeveloped.'Despite ongoing anti-corruption campaigns in African countries, Mutepuka noted that the challenge remains entrenched, requiring renewed commitment, stronger institutions and political will.
She was addressing the AUABC 49th Ordinary Session in Arusha on Tuesday. The session also marked the swearing-in of a new board.
Her remarks were echoed by findings from the United Nations Office on Drugs and Crime (UNODC), which show that corruption is the leading obstacle to Africa's economic and social development, consuming nearly 25 percent of the continent's GDP annually.
The fight against corruption on the continent is guided by the African Union Convention on Preventing and Combating Corruption (AUCPCC), which provides a legal framework for member states. Of the 54 African Union (AU) member states, 50 have signed the convention, and 49 have ratified it. But only 12 countries have undergone national anti-corruption reviews.
Mutepuka urged the new board to intensify peer review and engage the four countries that have yet to sign the convention.'There is no time to waste, these reviews are crucial in helping countries identify gaps in their legal systems and take corrective action,' she said. 'Go out and inform governments that enormous gains await those who fully embrace the AU Convention. But, above all, we need governments that are genuinely committed to building robust anti-corruption institutions.'Outgoing chairperson Seynabou Diakhate warned that declaring 'total victory' might be ambitious, 'but that is our goal.'
Donald Deya, CEO of the Pan African Lawyers Union, stated that internal revenues would be sufficient for Africa's development needs if not for corruption.'Without corruption, African countries wouldn't need to borrow anything, but we lose so much to graft that we are forced to seek loans, which only fuels dependency,' he said.
The African Development Bank (AfDB) in 2024 reported that Africa's external debt grew from $1.12 trillion in 2022 to $1.152 trillion by the end of 2023.
In 2024 alone, the continent spent $102.59 billion on debt repayments, according to a report by the ONE Campaign, an international NGO advocating for an end to extreme poverty.
The report warns that this growing debt burden severely threatens Africa's ability to achieve the Sustainable Development Goals (SDGs), particularly in sectors like health, education, and infrastructure.
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