AfDB President Explains Why Nigeria, Other African Countries Are Poor
- Despite being the source of many raw materials and natural resources, several African countries have remained poor
- President of the African Development Bank, Akinwumi Adesina, has explained the reasons behind this
- Adesina also listed what the presidents of African countries need to do to turn the tide
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Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience in business reporting across digital and mainstream media.
Even though much of the raw materials used in manufacturing originate in Africa, less than 2% of the manufacturing takes place in Africa.
This is the key reason behind poverty and underdevelopment in Africa, according to President of the African Development Bank (AfDB), Dr. Akinwumi Adesina.
Adesina called on the presidents of African nations to put an end to the exportation of raw materials if they want to bring their countries out of poverty.
Source: Getty Images
Speaking in a post shared on his official X handle, Adewumi reiterated that Africa needed to stop being a supplier of raw materials, and start adding value to the resources and commodities before export.
His post read;
“Africa must end the exports of its raw materials. The export of raw materials is the door to poverty. The export of value-added products is the highway to wealth. And Africa is tired of being poor.”
Data from the Office of US Trade Representative and other multilateral institutions showing that almost 98% of global manufacturing takes place outside the African continent, Channels TV reports.
AfDB warns Nigeria against trade shocks
Legit.ng reported recently that the AfDB President Akinwumi Adesina warned against shock waves in Nigeria and other African countries.
Adesina noted that the onslaught of tariffs by the United States will send "shock waves" through African economies, resulting in reduced trade and higher debt-servicing costs.
The comments came as US President Donald Trump upended global markets by pushing - and then retracted - a slew of tariffs in recent days.
A baseline 10-percent levy remains in place for all countries, along with higher tariffs on Chinese imports to the United States -- scrambling decades of global trade policy.
He warned that the new levies could cause local currencies in Africa to weaken due to reduced earnings.
AfDB supports Agriculture in Nigeria
Africa has some of the world’s most sought-after natural resources and raw materials, but despite the African Continental Free Trade Area (AfCFTA), intra-African trade remains low.
AfDB President Adesina continually advocates improved infrastructure in Africa, along with other policies that promote agro-industrialisation.
Recall that the AfDB has onboarded over 21 Nigerian states for the second phase of its' Special Agro-Industrial Processing Zones (SAPZ) Programme..
The programme, which started in eight states and the FCT, will allow more states to join in to boost food security and agro-industrial development in Nigeria.
AfDB partners airline to build Africa's biggest airport
Ethiopian Airlines and the African Development Bank have also recently signed a historic agreement to construct Africa's largest airport in Ethiopia.
Source: Getty Images
The $7.8 billion project will greatly expand Ethiopia's aviation capacity, increasing it from the current 17 million passengers annually.
Nigeria exports more crude to the US
In related news, Legit.ng reported that the Nigerian National Petroleum Company Limited (NNPC) is set to export Nigeria’s newest crude oil grade to Europe.
The sweet Obodo blend will reportedly hit the European market, where Nigeria sells most of its crude.
The cargo of the sweet Obodo blend, produced by Nigerian Independent Continental Oil and Gas from the onshore oil block OML 150, is expected to leave Nigeria for Europe before the end of April 2025.
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Source: Legit.ng
