The chairman of Nigeria’s Economic and Financial Crimes Commission (EFCC), Olanipekun Olukoyede, has emphasized the potential of blockchain technology and artificial intelligence (AI) to address illicit financial flows (IFFs) in Africa.
Tackling Illicit Financial Flows
Speaking at the Pan-African Conference on Illicit Financial Flows and Taxation, Olukoyede highlighted the staggering $88.6 billion lost annually by African countries due to IFFs. This conference, organized by the African Union, serves as a key forum for stakeholders across the continent to discuss strategies and share best practices to combat IFFs.
Olukoyede stressed the importance of establishing robust legal frameworks and enhancing capacity at national, regional, and international levels. He advocated for the adoption of advanced technologies such as data analytics, blockchain, and AI to improve asset tracking and recovery efforts. He pointed to the successful recovery of $311 million repatriated from the United States in 2020, linked to former Nigerian dictator Sani Abacha, as an example of effective international cooperation.
Enhancing Infrastructure, Healthcare, and Education
The EFCC chair emphasized that if recovered, these funds could significantly enhance infrastructure, healthcare, and education across Africa. Effective anti-corruption efforts, according to Olukoyede, require international pressure to ensure cooperation from tax havens and low-tax jurisdictions, underscoring the need for strong advocacy.
Blockchain and AI in Nigeria
Nigeria has recently taken significant steps to embrace blockchain technology and AI. In May, the National Information Technology Development Agency (NITDA) restructured the National Blockchain Policy Steering Committee (NBPSC) to reassess the policies guiding the implementation of the country’s National Blockchain Policy. This review aims to keep pace with blockchain innovations and promote comprehensive adoption by involving additional stakeholders.
In April, NITDA advocated for incorporating AI into Nigeria’s security framework to enhance outcomes. The agency’s Director General, Kashifu Inuwa, highlighted the potential of technologies like AI and the Internet of Things (IoT) to improve the security sector.
NITDA is also promoting AI growth in Nigeria through initiatives like the National Centre for Artificial Intelligence and Robotics and the development of a National Artificial Intelligence Policy.