Second, money outside Africa cannot be taxed. Third, it is the poor people in Africa that indirectly pay for the external debts. Capital flight increases the level of corruption. The flight of capital means that police officers cannot be adequately paid and are forced to extract bribes. Medical doctors, teachers and government clerks extort bribes from citizens.
Capital flight is related to lack of technological development.
Because it lacks the technological knowledge, Nigeria exports crude petroleum only to re-import refined petroleum. It exports steel only to re-import cars. Ten percent of Nigeria's petroleum revenue is paid to the foreign oil companies as royalties and the companies reinvest their profit in Europe. Profits made by foreign companies are repatriated abroad and it is capital flight and increases the level of poverty in Africa. It can only be stemmed when Africa invests in technology development.