The recent decision by US President Donald Trump to suspend foreign aid to several countries, (excluding only Egypt in Africa), has sparked widespread debate and concern. This move, consistent with his “America First” policy, has raised questions about the future of development projects and humanitarian efforts across Africa and beyond. While the suspension poses challenges, it also presents an opportunity for African nations to reflect on their reliance on foreign aid and address the systemic issues of corruption, mismanagement, and unnecessary spending that have hindered progress for decades.
Africa must seize this moment to block revenue leakages, prioritise accountability, and foster self-reliance. The continent is endowed with abundant natural resources, a youthful population, and immense potential. Yet, its growth has been stunted by inefficiencies, corruption and a culture of dependency on foreign aid. To command respect from Europe, America and the rest of the world, African leaders must take decisive action to curb wastage, eliminate unnecessary spending and ensure that public funds are used for the benefit of the people.
One of the most glaring issues in many African countries is the culture of extravagance among public officials. Governors, ministers and other high-ranking officials often charter private jets for personal or official trips, while millions of citizens lack access to basic amenities such as clean water, healthcare and education. The procurement of multiple luxury vehicles for government officials, often repeated annually, is another example of wasteful spending. These practices not only drain public coffers but also erode public trust in leadership.
Another area of concern is the duplication of projects in national budgets. Funds are often allocated to the same projects year after year, with little or no progress to show for it. This repetition not only wastes resources but also creates opportunities for corruption. For example, a road construction project may appear in the budget for several years, yet the road remains unfinished, while the allocated funds disappear into private pockets. In some cases, contractors are paid for work that is never completed, or the same project is awarded to multiple contractors, leading to confusion and mismanagement.
To address these challenges, African governments must embrace technology to enhance transparency and accountability. Digital tools can be used to track public spending, monitor project implementation, and ensure that funds are used for their intended purposes.
For example, blockchain technology can be employed to create tamper-proof records of financial transactions, making it difficult for corrupt officials to siphon public funds.
Blockchain, a decentralised and secure digital ledger, can revolutionise how governments manage public finances. By recording every transaction in a transparent and immutable manner, blockchain can help eliminate fraud, reduce corruption, and ensure that funds reach their intended beneficiaries. Countries like Ghana and Kenya have already begun experimenting with blockchain technology in areas such as land registry and public procurement, with promising results.
In addition to blockchain, e-procurement systems at all levels of governance can streamline government purchasing processes, reduce corruption, and ensure that contracts are awarded based on merit rather than cronyism.
E-procurement platforms allow governments to publish tender notices, receive bids, and award contracts online, making the process more transparent and competitive. By leveraging technology, African nations can block revenue leakages and ensure that every dollar is accounted for.
President Tinubu should take a critical step to suspend officials suspected of corruption pending investigations. No nation would willingly give its taxpayers’ money to another country only for it to be mismanaged or embezzled by officials.
African governments must demonstrate their commitment to fighting corruption by holding public officials accountable for their actions. This includes prosecuting those found guilty and recovering stolen assets.
The fight against corruption must be backed by strong institutions and an independent judiciary. Governments should also empower anti-corruption agencies with the resources and authority needed to carry out their mandates effectively.
For example, the Economic and Financial Crimes Commission (EFCC) in Nigeria has made significant strides in investigating and prosecuting corruption cases. However, more needs to be done to ensure that high-profile individuals are not above the law.
In addition to prosecuting corrupt officials, African governments must also focus on preventing corruption in the first place. This can be achieved by implementing robust oversight mechanisms, promoting a culture of accountability, and encouraging whistleblowing.
Citizens should be empowered to report corruption without fear of retaliation, and governments should take swift action to investigate and address such reports.
While foreign aid has played a significant role in Africa’s development, it is time for the continent to reduce its dependence on external assistance. African nations must prioritise domestic resource mobilisation by broadening their tax base, improving tax collection systems, and curbing illicit financial flows. This will enable them to fund their own development agendas and reduce reliance on foreign aid.
Illicit financial flows, which include money laundering, tax evasion, and the illegal transfer of funds out of the country, are a major drain on Africa’s resources. According to a report by the United Nations Conference on Trade and Development (UNCTAD), Africa loses an estimated $88.6 billion annually to illicit financial flows. This is more than the continent receives in foreign aid and foreign direct investment combined. By curbing these flows, African nations can retain more of their resources.
At the same time, Africa should seek strategic partnerships with developed nations based on mutual respect and shared interests. Rather than relying on aid, African countries can attract foreign investment by creating a conducive business environment, improving infrastructure, and investing in education and innovation. For example, Rwanda has made significant progress in attracting foreign investment by implementing business-friendly policies, improving governance, and investing in technology.
The time for action is now. Africa has the resources, the talent, and the potential to transform itself into a global powerhouse. What is needed is the political will to make the necessary changes and the commitment to put the interests of the people first. Only then can the continent truly command the respect it deserves on the global stage.
