Is Africa a net creditor? New estimates of capital flight from severely indebted sub-Saharan African countries, 1970-96

This article presents estimates of capital flight from 25 low-income sub-Saharan African countries in the period 1970 to 1996 Capital flight totalled more than $193 billion (in 1996 dollars); with imputed interest earnings, the accumulated stock of flight capital amounts to $285 billion. The combined external debt of these countries stood at $178 billion in 1996. Taking capital flight as a measure of private external assets, and calculating net external assets as private external assets minus public external debts, sub-Saharan Africa thus appears to be a net creditor vis-a-vis the rest of the world.