The African continent is so rich that other continents are not as richly endowed with natural resources as Africa is; yet the continent is so poor. Comparing the continent with the others in terms of natural endowment, Africa is exceptionally rich in diverse natural resources (solid minerals, petroleum, and her significantly all year round tropical climate for energy), with great opportunities and availability of fertile and vast arable land for agriculture in certain agricultural raw materials as well. No observer therefore, can be viewed as making mistakes for any reason; to clearly and equivocally state with such certainty that nature is graciously generous with the continent of Africa, in terms of her very rich endowments in diverse natural resources.
Not minding these opportunities the continent has in holding vast global reserves of minerals and energy, it still remains the poorest continent when compared with others in terms of wealth (economically). The continent boasts of rich reserves of uranium, diamonds, gold, platinum, silver, nickel, copper, cobalt, manganese, bauxite, tin; and silicon (used for computer chips and semiconductor materials that are in very high demand in this information technology age).
For energy, especially at this auspicious time when the world is shifting from fossil fuel sourced energy, to renewable energy as a result of global climate change impacted from global warming, the continent is richly endowed with all year round solar, hydro and wind sources for renewable energy generation; yet her very rich petroleum (crude oil and natural gas) reserves are not yet substantially tapped and exploited, either. The fight against global warming deemphasizes sources of carbon emissions into the stratosphere through the ongoing global programme of energy transition, carbon neutrality or decarbonization, being championed by the United Nations.
Africa is equally well positioned in the agricultural sector of the global economy. The continent is so richly blessed with abundant production of tropical fruits, cocoa and coffee, tropical timber, among others.
In today’s world, the big questions for all concerned remain: Why must Africa continue to be a poor continent in terms of wealth creation? Why should Africa continue to be tagged the global raw material hub for the other world economies, without locally venturing into adding value or recreating those raw materials by Africans? For the 54 countries that make up the continent, it is on record that in international trade with partners, for all recorded annual world trades, they constantly post deficits in their respective balance sheets. Why should that anomaly continually be experienced by African economies, and why must this continue as an unending occurrence in trade relations with the outside world?
These issues demand very urgent and aggressive attention for a complete turn around to reverse the global economic and commercial order. This is necessary and can be changed through a wealth creation mechanism that critically applies full blown value addition on all the available raw materials that are sourced from within Africa. The continental finance house, the African Export Import Bank (AFREXIMBANK) and all the development, agricultural and commercial banks at continental and national levels, should play a very pivotal role in making this work, and become a reality. No doubt, the World Trade Organisation (WTO) would definitely encourage and support such noble projects meant for the African Economic Growth Agenda.
The Africa Continental Free Trade Agreement (AfCFTA) has a lot of responsibilities and assignments to do in prosecuting this particular economic task by sensitizing and mobilizing all the nations/stakeholders within the continent. The economic policies of import substitution and backward integration need to be aggressively pursued by all the economies in Africa, if the economic growth and development plans are to hold sway for the continent, as a very important agenda.
No country in Africa should be exempted or left out because the economic theory on law of comparative advantage has to be applied as a policy, for the actualization of strategic result-oriented continental economic plan and programme. The competitiveness of outsourcing among African nations needs to be harmonized in a very strategic manner; in such a way not to hamper the targeted achieved programme, and to equally eschew all traces of counterproductive efforts among partners/African economies on similar segmented products (of both minerals and agricultural resources). The anticipated impact will be to maximize economies of scale in goods and services for attractive premium prices.
Nigeria should take the lead on this issue of creating wealth in Africa. This economic initiative or actionable move needs to be aggressively put into practical motion, by utilizing the capital stock from her vast abundant natural resources, which are not yet exploited or tapped. The most direct benefits shall instantly drive economic growth, reduce poverty and unemployment in the job market, if successfully implemented economy.
