Illicit Financial Flows

A shadow financial system consisting of tax havens, secrecy jurisdictions and anonymous corporate vehicles makes it easy for corrupt dictators, terrorists, drug traffickers and tax evaders to quietly shepherd their funds out of the developing world and around the planet without notice.

As the Indian economy has improved, the amount of illicit money shifted to offshore financial centers has increased as well.

It is estimated that $1 trillion in illicit money leaves developing countries every year. This outflow reduces tax collection, cripples foreign aid, undermines free trade and worsens poverty for billions of people.