Illicit financial flows (IFFs) associated with commodity trade erode the tax base of resource-rich developing countries. Efforts to curb IFFs and reform taxation stumble over enhanced NorthSouth tensions but remain crucial to helping poorer countries mobilise domestic resources for development. The 17th volume of International Development Policy examines this key part of the wider agenda to restore trust in the multilateral system, calling for a more transparent, effective and equitable trade and tax framework. Based on a six-year multidisciplinary research project encompassing academic institutions in commodity exporting and trading countries, its 24 authors offer a mix of theoretical and empirical contributions and discuss findings of macro- and micro-level studies. The book sheds new light on issues such as addressing push and pull factors through domestic and international policy measures, the preferences of key stakeholders for short-term fixes versus long-term policy reforms, and prescriptive approaches and other options to address tax base erosion in resource-rich developing countries.
Foreword
Preface
List of Figures and Tables
Abbreviations
Notes on Contributors
Part 1
Introducing the Thematic Volume: Key Findings and Recommendations
1Curbing Illicit Financial Flows in Commodity Trade and Beyond
Gilles Carbonnier, Fritz Brugger, Elisabeth Bürgi
Bonanomi, Fred M. Dzanku, Stabandith Insisienmay
Part 2
Definition, Measurement, and Drivers of Trade-Related iffs
2Measuring Illicit Financial Flows: New Data and Methods
Gilles Carbonnier and Rahul Mehrotra
3Trade-Related Illicit Financial Flows in Southeast Asia: Evidence from
Extractive and Agricultural Commodities in Laos
Viriyasack Sisouphanthong, Latdaphone Banchongphanith,
Sthabandith Insisienmay and Latdavanh Songvilay
4Metals Streaming and Royalty Financing: A Framework for Assessing Mining
Sector Financial BenefitSharing Implications for Governments
Ekpen J. Omonbude
5The Role of Tax Expenditures in Enabling Illicit Financial Flows
Christian von Haldenwang, Lucas Millán-Narotzky, Irma
Mosquera Valderrama and Agustín Redonda
Part 3
Policy Responses across Space and Time
6The Battle Over Policies to Curb Trade-Related Illicit Financial Flows:
Findings from a Q-methodology Study
Fritz Brugger and Joschka J. Proksik
7Prescriptive Pricing and Stabilisation Clauses in Investment Agreements
Irene Musselli and Victor S. Mariottini de Oliveira
8Tax Reforms in Hydrocarbons and Mining in Chile, Colombia and Peru
20212023
Humberto Campodónico and Armando Mendoza
9Potential Illicit Financial Flow Risks in Ghanas Gold-for-Oil Transaction
Fred M. Dzanku, Adubea J. Hall, Ama A. Ahene-Codjoe,
Abigail A. Tetteh and Angela A. Alu
Part 4
Looking Forward: Energy Transition and Resource Mobilization
10Illicit Financial Flows, Extractive Sectors, and the Energy Transition:
Building State Capacity to Finance the sdgs
Philippe Le Billon
Index
Gilles Carbonnier is professor of Development Economics at Genevas Graduate Institute of International and Development Studies (since 2007). Since 2018 he has been the vice-president of the International Committee of the Red Cross (ICRC). Prof. Carbonnier has been president of the Centre for Education and Research in Humanitarian Action and the director of studies of the Graduate Institute and has served on numerous boards. Previously he worked as a field delegate with the ICRC and conducted international trade negotiations under the GATT/WTO.
Fritz Brugger is co-director of the centre for Global Cooperation and Sustainable Development (NADEL) at the Department of Humanities, Social and Political Sciences at ETH Zurich. He holds a PhD from the Graduate Institute of International and Development Studies in Geneva.
Elisabeth Bürgi Bonanomi (Dr. iur. and Attorney at Law) leads the research area Sustainability Governance at the Centre for Development and Environment (CDE) of the University of Bern. She lectures on Law and Sustainability at both the CDE and the Universitys Law Faculty.
Fred M. Dzanku is senior research fellow at the Institute of Statistical, Social and Economic Research of the University of Ghana.
Sthabandith Insisienmay is vice minister of the Lao PDR Ministry of Planning and Investment (MPI), where he supervises investment promotion, real estate development and research. Previously, he worked for the then MPIs National Economic Research Institute (NERI), now the Lao Academy of Social and Economic Science.
Contributors include: Ama A. Ahene-Codjoe, Angela A. Alu, Latdaphone Banchongphanith, Humberto Campodónico, Christian von Haldenwang, Adubea J. Hall, Philippe Le Billon, Victor S. Mariottini de Oliveira, Rahul Mehrotra, Armando Mendoza, Lucas Millán-Narotzky, Irene Musselli, Irma Mosquera Valderrama, Ekpen J. Omonbude, Agustin Redonda, Viriyasack Sisouphanthong, Latdavanh Songvilay and Abigail A. Tetteh.
