By Obinna Uballa
Outgoing president of the African Development Bank Group (AfDB), Dr. Akinwumi Adesina, has warned that African countries are losing about $100 billion annually as a result of poor governance and weak legal frameworks in Africa.
Adesina argued that the rule of law with its consequential protocols of good governance, strong legal and compliance frameworks should be seen as “Africa’s new gold” and the key to unlocking the continent’s prosperity.
Delivering the closing keynote address at the Kenya Law Society’s 2025 Annual Conference in Diani, Adesina challenged lawyers, judges and arbitrators to act as “guardians of promise and stewards of destiny” by enforcing constitutional safeguards on public finance and ensuring justice for all.
“When Africa stands for the rule of law, the world will stand with Africa,” he told over 1,200 delegates, including jurists, government officials and members of the legal profession.
Adesina warned that Africa’s weak legal systems and governance shortcomings are costing the continent dearly, including a $100 billion annual gap in foreign direct investment.
He pointed to “vulture funds” – investors who buy distressed national debt cheaply, then exploit weak courts to demand full repayment with backdated interest – as a major symptom of fragile rule of law.
“Evidence suggests that foreign direct investments move more to countries with political stability, transparency and low levels of corruption,” he said, adding that judicial independence, efficient public service and respect for intellectual property were equally critical to investor confidence.
The outgoing AfDB chief, who is due to formally vacate office this September, stressed that legal and governance reforms must go beyond attracting capital to securing dignity and justice for citizens.
“Justice is not a byproduct of development, it is the foundation of development,” he declared.
He called for universal access to justice, including legal aid, digitised court systems and grievance mechanisms to bring law closer to ordinary people. He also urged reforms in natural resource management to ensure benefits flow to communities rather than elites, alongside sovereign wealth funds to safeguard future prosperity.
Adesina highlighted successes in countries supported by the AfDB. In Rwanda and Côte d’Ivoire, specialised commercial courts have halved dispute resolution times, unlocking over $1 billion in new investment, he added.
According to him, in Seychelles, constitutional reforms requiring parliamentary approval for sovereign borrowing helped reduce the debt-to-GDP ratio from over 100% to below 55%. ” In Kenya, procurement and debt transparency reforms, supported by the Bank, are strengthening oversight of public funds.:, he stressed.
Adesina challenged Africa’s lawyers and judges to uphold ethics, strengthen arbitration systems, and defend national assets against predatory debt practices. He further urged the digitisation of justice systems and adoption of environmental, social and governance (ESG) principles in legal practice.
“Let us make a choice that history will record, and generations will remember,” he said. “As lawyers, justices and guardians of the law, I urge you to uphold the rule of law, to execute justice with fairness and righteousness.”
The three-day conference was attended by Kenya’s Chief Justice Martha Koome, Law Society President Faith Odhiambo, Mombasa Governor Abdulswamad Nassir, AfDB East Africa Director General Alex Mubiru, among others.
