Nairobi: Dr. Akinwumi A. Adesina, President and Chairman of the Boards of Directors of the African Development Bank Group, delivered a keynote address at the 2025 Kenya Law Society Conference focusing on public finance, governance, justice, and development. Dr. Adesina emphasized the crucial role of effective management of public finance in promoting economic growth, sustainable development, and prosperity.
According to African Press Organization, public finance involves the management of a country’s revenue, expenditures, and debt obligations through various government and quasi-government institutions. Dr. Adesina highlighted that the way a nation raises revenue, manages debt, and allocates spending reflects its constitutional values and legal integrity. Effective management of public finance serves as a cornerstone for economic growth and national resilience.
Dr. Adesina also stressed the importance of the rule of law in driving growth and development, citing the Global Rule of Law Index which ranks African countries like Seychelles, Botswana, Rwanda, and Kenya at lower positions. He pointed out that enhancing the rule of law can attract foreign direct investment, a critical factor given Africa’s annual foreign direct investment financing gap of over $100 billion. Countries with political stability, transparency, and low corruption levels tend to attract more foreign direct investments.
Furthermore, Dr. Adesina discussed how Africa’s richness in natural resources has not always translated into economic prosperity due to governance and rule of law issues. He cited Norway and Saudi Arabia as examples of countries that have effectively leveraged their natural resources through strong legal frameworks and transparent governance, suggesting that African nations can learn from these models to turn natural resource wealth into prosperity for their populations.
Dr. Adesina also addressed the issue of rising public debt in Africa, which has exceeded $1.3 trillion. He highlighted the role of vulture funds in exploiting legal loopholes to profit from distressed debts of developing countries, urging African legal systems to assure judicial independence and transparency to engender trust and confidence among foreign investors.
In his address, Dr. Adesina emphasized the need for African countries to prioritize legal arbitrations in African jurisdictions and strengthen the capacity of African arbitral institutions. He also called for African judiciaries to play a greater role in safeguarding national interests and assets, especially in the face of legal challenges posed by vulture funds.
Additionally, Dr. Adesina highlighted the African Development Bank’s initiatives in supporting legal and judicial reforms across the continent. The Bank has invested in modernizing commercial courts, reducing dispute resolution times, and boosting investor confidence in countries like Rwanda, Côte d’Ivoire, Malawi, and Tunisia. These efforts demonstrate the Bank’s commitment to strengthening public finance through transparent governance and judicial efficiency.
Emphasizing the importance of parliamentary oversight in public finance, Dr. Adesina underscored the African Development Bank’s requirement for clear evidence of parliamentary oversight and authorization for any public sector loan, grant, or guarantee. This ensures that public resources are governed by public will and serve the public good.
In conclusion, Dr. Adesina called for collective efforts to strengthen constitutionalism, enforce accountability in public fund usage, and enhance the legal system and judiciary across Africa. He urged legal professionals to uphold the rule of law and execute justice with fairness, emphasizing that justice and development are not parallel paths but converging tracks toward inclusive growth. Dr. Adesina concluded by urging African nations to stand for the rule of law, assuring that the world will stand with Africa in its pursuit of prosperity.