The MENA has long suffered from capital flight for a number of reasons – resource-based economies, corruption, weak governance, economic underdevelopment, political instability, and a less developed financial sector. The Middle East and North Africa region accounted for on average 11.2 percent of global illicit capital outflows between 2011-2002.
This policy paper by Paul Cochrane addresses how capital flight, licit and illicit, has a deleterious effecton economic development in the MENA region, and has significantly increased over the past decade. The reasons for such a rise in illicit flows, and its impact on economies, needs to be researched and policies put forward at the national, regional and international level to curb this phenomenon.
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