Nigeria financial crimes losses hit $18bn yearly, says Speaker Tajudeen Abbas, urging stronger fiscal oversight to protect public resources

Abbas disclosed this in Abuja on Monday while delivering a keynote address at the 8th Annual African Network of Parliamentary Budget Offices Conference.

Also read: Speaker Abbas Tajudeen condemns abduction of nurses, patients in Kaduna state

He said Africa as a whole loses over $587 billion each year to corruption, illicit financial flows and inefficiencies, warning that such leakages deny citizens vital infrastructure and services.

“According to the African Development Bank, Africa loses over $587 billion annually to capital flight money that flees the continent through corruption, illicit trade, mispricing and profit shifting by multinational corporations, among other channels.

“Corruption alone is estimated to drain about $148 billion from Africa annually, while other illicit flows, such as trade malpractices and smuggling, siphon away additional tens of billions.

This is money that should be used to build roads in Lagos, equip hospitals in Nairobi, or improve schools in Accra, but instead it vanishes,” Abbas said.

On Nigeria’s losses, the Speaker noted:

“In our public procurement processes, which make up a significant part of government spending, Nigeria loses an estimated $18 billion each year to financial crimes, roughly 3.8% of our GDP. These leaks could fund numerous social programmes many times over.”

Abbas stressed the urgent need to strengthen parliamentary fiscal oversight across Africa to safeguard public resources and ensure accountability.

Turning to Nigeria’s debt profile, the Speaker reaffirmed the House of Representatives’ support for President Bola Tinubu’s borrowing plans, describing them as necessary for financing critical infrastructure.

He clarified recent reports suggesting otherwise, insisting that the parliament backs “strategic and responsible borrowing” aimed at stimulating economic growth and addressing development challenges.

“The House and indeed the National Assembly have consistently affirmed that in the face of present developmental needs, strategic and responsible borrowing is an essential fiscal tool.

“Under our President’s leadership, borrowed funds are being channelled towards transformative projects that will expand revenue-generating capacity, such as power, transport and agriculture, rather than for consumption,” Abbas explained.

Also read: SERAP, others sue Akpabio, Abbas over hike in budget allocation

He added that parliament remains committed to ensuring all loans are transparent, sustainable and consistent with Nigeria’s medium-term debt strategy.