Auwal Musa Rafsanjani, a prominent civil society advocate, has called on the International Monetary Fund (IMF) and the World Bank to democratize information sharing in order to foster greater transparency and accountability in financial dealings with African countries, particularly Nigeria.
Speaking at the IMF/World Bank Annual Meeting, Rafsanjani emphasized the critical need for these financial institutions to engage more actively with stakeholders, including civil society organizations, in order to ensure that citizens are well-informed about the economic decisions impacting their countries. “It is a shame that many government officials come to sign deals without informing their citizens, and as a result, these citizens cannot hold their governments accountable,” Rafsanjani said. “Parliaments are also often unaware of the financial agreements being made on their behalf.”
Rafsanjani, who was part of the civil society delegation accredited to participate in the event, outlined a number of reform issues that African organizations are pressing for. These include addressing the issue of illicit financial flows, which he believes are draining Africa’s resources and hindering economic development. He argued that these flows—through mechanisms such as tax avoidance, capital flight, and corruption—are contributing to economic instability, increasing poverty, and exacerbating inequality.
The civil society groups are calling for reforms that would not only curb illicit financial flows but also strengthen the recovery of stolen assets and improve the overall financial management framework in African countries. According to Rafsanjani, tackling these issues would unlock much-needed investments in sectors such as education, healthcare, and infrastructure.
Rafsanjani also called for comprehensive reforms within the IMF and World Bank’s governance structure, particularly regarding their relationship with African nations. He stressed the importance of ensuring more transparency and accountability in how financial institutions interact with African governments. “Information sharing must be prioritized with stakeholders, particularly civil society organizations working on financial management issues,” he asserted.
He went on to highlight the lack of oversight in the borrowing and use of loans by governments, noting that, in many cases, national parliaments and citizens remain unaware of the details of these financial dealings. This lack of transparency, Rafsanjani believes, is contributing to a growing mistrust between the people and their governments, which hinders effective governance and economic progress.
Rafsanjani’s comments were particularly pointed in reference to Nigeria’s economic challenges, which he attributed to corruption, poor revenue collection, and inadequate taxation of the wealthy and multinational corporations. He cited a recent study revealing that nearly 90% of Nigeria’s wealthiest individuals are not paying taxes, which, in turn, hampers the government’s ability to fund development projects. Rafsanjani called on the Nigerian government to implement serious reforms to address these issues, including better tax collection systems and stricter oversight of financial institutions.
“Without proper taxation and accountability, we cannot expect to see economic stability or progress,” Rafsanjani said. “The Nigerian government must stop reckless borrowing and ensure that any loans collected are used transparently and judiciously for the benefit of the people.”
In closing, Rafsanjani reiterated the need for the IMF and World Bank to create more opportunities for interaction and information sharing, urging these institutions to involve civil society organizations in the monitoring and implementation of financial agreements. He pointed to Nigeria’s experience with the $3.4 billion loan it received from the IMF during the COVID-19 pandemic as a case in point. “Despite assurances from the IMF and World Bank that transparency mechanisms would be in place, the Nigerian government has been unable to account for the funds,” he said, underscoring the importance of civil society participation in holding both governments and financial institutions accountable.
Rafsanjani’s remarks serve as a powerful reminder of the importance of financial transparency in ensuring that resources are used to benefit the people, not just the elites or corrupt officials.