Blue economy offers prospective route to sustainable growth

Onome Amuge

The blue economy is an emerging concept that refers to the sustainable economic activities related to the oceans, seas, and coastal areas. It includes activities such as shipping, fishing, and tourism, as well as emerging industries such as offshore renewable energy.

The traditional ‘business-as-usual’ approach to ocean economy development focuses on exploiting marine and maritime resources, such as through shipping, fishing, and oil and gas development. However, this approach often neglects the long-term effects of these activities on ocean ecosystems and future productivity. The blue economy concept offers a more holistic vision that takes into account economic growth, social equity, and environmental sustainability. This vision is similar to the ‘green economy’, which prioritises human well-being and environmental sustainability.

The blue economy does not only generate economic opportunities, but also protects and develops intangible blue resources, such as traditional ways of life, carbon sequestration, and coastal resilience. These resources can help to mitigate the effects of poverty and climate change, especially for vulnerable states. By taking a more holistic approach, the blue economy aims to create a more sustainable and resilient ocean economy.

The World Bank in a report titled “The Hidden Wealth of Nations: The Sustainable Blue Economy”, said the blue economy is worth more than $1.5 trillion per year. The report also estimates that the blue economy has the potential to create an additional 40 million jobs and significantly reduce poverty by 2030.

Based on this, experts and stakeholders familiar with the marine industry believe that the blue economy has the potential to bring numerous benefits to the Nigerian economy through job creation, development of new industries and creating opportunities for sustainable employment.

They also noted that the blue economy can  help to improve infrastructure and connectivity, as it can stimulate investment in ports and other marine infrastructure,promote trade and investment by increasing access to markets, and enhance innovation by providing opportunities for the development of new technologies and products.

Furthermore, the blue economy has been identified as an enhancer  to social development as it not only promotes health and well-being, but also improves access to clean water and sanitation, and promotes education and research opportunities.

The Nigerian minister of the newly established Ministry of Marine and Blue Economy, Adegboyega Oyetola, believes that the blue economy has the potential to play a major role in the nation’s economy. This includes contributing to GDP, attracting foreign direct investment, creating jobs, improving transportation, and driving national competitiveness.

In his resumption address at the headquarters of the Ministry of Marine and Blue Economy in Abuja, Minister Oyetola emphasised the importance of the blue economy as a driver of sustainable development in Nigeria. He called on stakeholders to collaborate and develop innovative strategies to maximize the potential of the blue economy.

“Our oceans cover more than two-thirds of our planet’s surface, holding the key to sustainable economic growth, environmental preservation, and technological innovation. Experts say the blue economy is estimated to be worth more than 1.5 trillion dollars per year globally. Therefore, given our size as a country and considering the size of our blue economy, we should be a significant player in this sector, so as to contribute immensely to the revenue generation of our country and also provide jobs for the unemployed,” he stated.

In a similar vein,  Bashir Jamoh, director-general of the Nigerian Maritime Administration and Safety Agency (NIMASA) emphasised the potential of the blue economy to generate 350 million jobs in Nigeria.

Jamoh stated this at  the NIMASA Special Day at the recently held 18th Abuja International Trade Fair, where he was represented by Rakiya Lamai, the acting coordinator of NIMASA, Abuja Office.

The NIMASA DG urged Nigerians to support the development of the blue economy as a way to overcome current economic challenges. He noted that despite the abundance of ocean resources such as fish, shrimps, and other seafood, Nigeria has not been able to harness these resources to their full potential. He also highlighted the lack of ship repair facilities, which has led to ships being repaired in other countries like Turkey, as a challenge that needs to be addressed.

“With a combination of modern technology, relevant laws and support from the Federal Government, relevant agencies and stakeholders, disbursement of CVFF Funds, NIMASA is working to fulfill its mandate of regulating operations in the maritime industry,” he said.

Jamoh said NIMASA is working hard to secure the Nigerian maritime environment and develop the capacity of local stakeholders to expand the shipping industry. He stated that waterway expansion is a more effective incentive for attracting foreign direct investment and private sector participation in the maritime transport business than tax waivers. These initiatives, he explained,are expected to drive economic growth and development in the country

“The Blue Economy is every Nigerian’s economy. The media, civil Society, and other non-state actors, all have a role to play in galvanising greater national awareness and participation.

“We must rethink our waters, we need a total rethink from a ceremonial view; events such as the Argungu Fishing Festival as well as others must be redesigned and repackaged from the standpoint of the blue economy,” he said.

The Nigeria Economic Summit Group (NESG)  projected that the country could generate up to N4 trillion annually by fully harnessing the potential of the marine and blue economy sector. The group believes that this sector can play a significant role in driving economic growth and creating jobs in Nigeria. To realize this potential, the group called for increased investment and policy support for the sector.

During a webinar titled “Blue Economy: The Crucial Role of the Private Sector”, Clem Ugorji, a member of the Sustainability Policy Commission of the NESG, stated that countries with abundant marine resources like Nigeria have the opportunity to boost economic activity and growth through the sustainable use of these resources. He noted that the blue economy offers significant economic and environmental benefits, including food security, improved trade, job creation, and poverty reduction.

“The blue economy generated over 500 billion Euros, accounting for 1.7 per cent of GDP in Europe and has the potential to generate 5 billion dollars in Nigeria and that this suggests that the blue economy provides an opportunity to galvanise new rapid growth determinants, especially towards tackling deepening poverty and restiveness in coastal economies, including Nigeria,” he said.

According to Ugorji, the private sector can play a crucial role in introducing maritime-based technology, improving the use of marine resources, boosting the technical versatility of workers through entrepreneurship and on-the-job training, and investing in projects to expand the use of marine resources. This, he believes, would increase innovation, marketing of marine and blue economy services, and ultimately boost foreign exchange earnings.

Suleiman Baiyee, a maritime consultant, highlighted the importance of stakeholders putting the best interests of Nigeria first by developing the resources of other countries. He added that security is the biggest challenge facing the nation’s blue economy, as it is critical to attracting investment and developing the country’s potential.

Baiyee further noted that Nigeria’s coastline of 853 km and 4,000 km of navigable waterways require infrastructure investment to realise their full potential.