Expert: Data Analytics a 'Game-Changer' for Africa Revenue Mobilisation

“Data analytics presents a watershed opportunity for 21st century revenue administration in Africa,” Mbizo said.

Godfrey Mbizo (frst right) and other panellists

CAPE TOWN, South Africa— Renowned data expert Godfrey Mbizo made a presentation at the annual African Tax Administration Forum (ATAF) meetings Wednesday, presenting data analytics as a “game-changer” for revenue mobilisation in Africa, writes Winston Mwale.

Titled “Harnessing Data Analytics: A Game-Changer for Revenue Mobilisation,” Mbizo’s presentation provided an in-depth look at how advanced analytics techniques can strengthen tax compliance, combat illicit financial flows, and drive strategic revenue management across the continent.

“Data analytics presents a watershed opportunity for 21st century revenue administration in Africa,” Mbizo said.

“Authorities equipped with intelligent data systems can gain unprecedented visibility into taxpayer behaviours, ensure accountability, and uncover non-compliance.”

Africa loses over $50 billion annually to illicit financial outflows, according to African Union estimates.

Meanwhile, developing economies across the continent urgently require revenue to fund infrastructure, education, healthcare, and other public services.

“By harnessing the power of data, revenue authorities can optimise collections, broaden the tax base, and drive strategic reforms to mobilise domestic resources. This is key for sustainable development,” Mbizo said.

Mbizo outlined advanced analytics techniques that can enhance tax administration.

“Descriptive analytics can identify trends and patterns in taxpayer data,” he said. “Predictive analytics then models risks and anomalies to target audits. Prescriptive analytics goes further by recommending optimal actions.”

Mbizo emphasized the need for African countries to build local capacity and skills in data science.

“Beyond tools, human capital is the most crucial element,” he said. “Authorities must invest in developing homegrown data analytics talent tailored to their unique needs.”

The presentation highlighted case studies of African revenue bodies successfully implementing analytics to curb tax evasion and bolster revenue.

Zimbabwe’s ZIMRA recovered millions after auditing telecoms’ mobile money usage data. Zambia, Uganda, and Eswatini have established data warehouses, enabling advanced analytics for improved tax compliance.

While data analytics has immense potential, barriers exist.

Many African countries lack the technical infrastructure and skills for advanced analytics. Mbizo advised collaborative partnerships between governments, the private sector, and academia to nurture African data science expertise.

“With the right knowledge, infrastructure, and institutional will, data analytics can drive a paradigm shift in African revenue mobilization,” Mbizo said.

“This will contribute significantly to national development and prosperity across the continent.”

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