African governments urged to adopt transparent tax systems

Experts, policy leaders and development partners have urged African governments to adopt fair, transparent and inclusive tax systems built on emerging technologies to reshape the continent’s fiscal future and ensure self-reliance.    The stakeholders gave the charge at the 11th Africa Think Tank Summit co-hosted in Addis Ababa, by the African Capacity Building Foundation (ACBF) […]

Experts, policy leaders and development partners have urged African governments to adopt fair, transparent and inclusive tax systems built on emerging technologies to reshape the continent’s fiscal future and ensure self-reliance.   

The stakeholders gave the charge at the 11th Africa Think Tank Summit co-hosted in Addis Ababa, by the African Capacity Building Foundation (ACBF) in collaboration with Ethiopia’s Ministry of Finance, the African Union Commission (AUC) and the African Union Development Agency (AUDA-NEPAD) under the theme, “From Taxation to Action: Bridging Policy and Implementation in Public Financial Management in Africa.”

In his opening remarks, the ACBF’s Executive Secretary, Mr Mamadou Biteye, urged African leaders to move away from donor dependency and focus on transparent and equitable domestic financing, noting that Africa should be ready to fund its own future.

“Let us transform taxation from a burden into a badge of honour,” Zadig Abreha, President of the Africa Leadership Excellence Academy, appealed. “Africa must move from being analyzed to becoming the authors of its own progress.”

Aynalem Nigussie, Ethiopia’s Minister of Revenue, agreed with Abreha and further remarked that policy alone cannot bring about change. Rather, it must be matched with the right implementation and cross-sector cooperation.

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Dr. Fekadu Tsega of the Policy Studies Institute stressed the need for context-specific and inclusive tax systems that rebuild trust between citizens and the state, noting that “proximity matters between citizens and governance, policy and implementation, Africa and the world.”

The summit held from October 8 to 10 featured 24 sessions that deliberated on wide-ranging strategic measures to strengthen public financial management (PFM) and build self-reliant economies. Key sessions focused on harnessing technology and artificial intelligence (AI) for revenue efficiency, empowering think tanks as catalysts for reform, promoting gender- and climate-responsive fiscal governance, and fostering partnerships between governments, civil society, and the private sector.

In a communiqué issued at the end of the summit, governments were urged to strengthen domestic resource mobilisation through fair, efficient, and technology-enabled tax systems while reducing reliance on official development assistance and debt; institutionalise evidence-based and transparent PFM systems, including citizen budgets, joint audit follow-up mechanisms, and effective oversight by parliaments and civil society; and leverage AI and digital innovation for predictive revenue analysis, expenditure tracking, and improved compliance across sectors.

Sustainable funding and formal collaboration frameworks were also recommended to enhance think tanks as key actors in translating policy into action.

“Finally, participants agreed that ACBF, in partnership with the AUC and AUDA-NEPAD, will disseminate the summit’s key recommendations across member states and regional bodies, develop a Post-Summit Action Plan (2025–2026) aligned with the Agenda 2063 Second Ten-Year Implementation Plan, facilitate capacity-building sessions for national PFM actors, and produce an annual Africa PFM Progress Report to monitor progress on reforms and innovations emerging from the Summit Inclusive Fiscal Governance: Mainstreaming gender and youth engagement, simplifying compliance for SMEs, and supporting women-led enterprises to promote equitable outcomes.

“ACBF and partners were called upon to scale up capacity-building programmes, leadership development, and the creation of a continental PFM competency framework. Countries were encouraged to explore innovative financing mechanisms such as health and environmental taxes, public-private partnerships, diaspora bonds, and digital economy taxation,” the communiqué added.

In his closing remarks, Biteye said the summit was able to clearly agree that to bridge the gap between policy and implementation in public financial management, it requires collaboration through leadership, trust, strong institutions, and the power of African knowledge.

“From the rich exchanges on digital taxation and innovative financing to the renewed emphasis on human capital, institutional strengthening, and inclusive participation—one message stands out: Africa is ready to turn knowledge into results. This summit has given us four powerful reminders: Fiscal sovereignty is not optional. If Africa is to fund its schools, hospitals, infrastructure, and climate resilience, it cannot rely indefinitely on external aid.

“Domestic resource mobilization is not just a budgetary exercise—it is a question of independence and dignity. Implementation is the real frontier. We do not lack policies, roadmaps, or visions. What we lack, too often, is the capacity, the coordination, and sometimes the courage to implement them. This summit has shown that bridging this gap requires political will, institutional reforms, and accountability mechanisms that citizens can trust.

“Think tanks are not spectators. They are architects, translators, watchdogs, and partners. From designing fiscal models to training civil servants, from monitoring reforms to convening stakeholders, think tanks are central to the journey from taxation to action. Partnership is the only way forward. Governments cannot reform alone. Civil society cannot demand change alone. Development partners cannot finance alone. It is only through collaboration, through co-creation, and through mutual trust that reforms will endure,” he stated.

Biteye appealed to the participants to ensure that the summit recommendations are translated into policy briefs, action plans, and measurable targets at national, regional, and continental levels that can positively impact the citizenry—farmers, teachers, traders, and youth.

The summit was attended by over 500 participants including 300 in-person delegates from more than 40 African countries, representing government ministries, parliaments, African think tanks, research institutions, civil society, private sector entities, and development partners.