The president of the African Development Bank Group (AfDB), Dr. Akinwumi Adesina, has cautioned against engaging in a tariff war with the United States, urging African nations to prioritise strategic trade and investment partnerships instead.
Adesina stated this while delivering the 14th convocation lecture of the National Open University of Nigeria (NOUN) with the theme “Advancing Africa’s Positioning Within Global Development And Geopolitical Dynamics.”
Adesina and Speaker of the House Representatives, Abbas Tajudeen would receive honorary doctorate degrees on Saturday (today).
While Abbas will be conferred with the Honorary Doctorate Degree of Doctor of Business Administration (D.B.A.) (Honoris Causa), Adesina will be conferred with the Honorary Doctorate Degree of Doctor of Humane Letters (L.H.D.) (Honoris Causa).
The AfDB president warned that the new U.S. tariffs could send shockwaves through African economies, weaken local currencies, increase inflation, and raise debt servicing costs.
According to him, Africa’s trade with the U.S. is minimal, noting that making a trade war with the country was unwise.
He called for a recalibrated trade and investment partnership with the U.S stressing Africa’s vast potential in infrastructure, agriculture, and minerals.
Adesina stated: “This will send other shockwaves right through African economies. Local currencies will weaken on the back of reduced foreign exchange earnings. Inflation will increase as the cost of imported goods rises and currencies devalue against the U.S. dollar.
“The cost of servicing debt as a share of global revenue will rise as expected revenues decline. These global tariffs will also have significant indirect effects on Africa, as its exports to developed countries such as China and others in Europe and Asia will buy goods from Africa.
“This will be expected to reduce the amount of official development assistance that will come to us from those economies. Of course, today we have the Africa Growth and Opportunity Act. It’s a duty-free access of Africa to the rest of the world.”
Adesina urged African nations to “tariff-proof” their economies by focusing on domestic consumption, value addition, and the effective implementation of the African Continental Free Trade Area.
He noted that the era of aid was over and growth must now come through disciplined investment, better resource management, and improved governance.
“What is needed is more trade with the U.S. The current dynamics call for a recalibration of trade and investment between the U.S. and Africa, which would expand trade opportunities, therefore, between the United States and Africa.
“The U.S. has huge opportunities in Africa to invest from rail to ports, to corridors, to agriculture, to processing, to critical minerals. And I think I would like to encourage that there be openness in dialogue on this tariff.
“I asked the Minister of Finance about that this morning, and that we should prioritize negotiations to make sure that Africa is not underserved in this shifting geopolitically driven economic and investment landscape. Africa should also tariff-proof itself for future jobs,” he said.
He noted that enhancing education and technological sectors was key to addressing Africa’s challenges, drive economic development, and foster a more prosperous future.
Adesina said that by investing in education and technology, Africa can cultivate a skilled workforce, empower entrepreneurs, and position itself as a global player in the digital economy.
He added: “There is no doubt that development aid plays a significant role for many economies in Africa, especially providing much-needed support for vulnerable populations that deal with shocks.
“However, despite its benefits, aid is not the way to develop. Indeed, no nation has ever developed based on aid. Let’s cast our minds back to the challenge of COVID-19. Africa must be 100% self-sufficient in the manufacturing of vaccines and medicines.
“In a world where it is becoming increasingly difficult to know allies or where long-time allies suddenly shift their priorities, there is no substitute for self-reliance. Africa must therefore treat health security just like we treat national defense.
“We must ramp up public and private sector financing for research and development. Our universities must be supported very strongly to have world-class medical sciences facilities that will allow our countries to drive cutting-edge innovations in medicine and pharmaceutical sciences. We must then connect them to fuel the growth of medical and pharmaceutical industries.”
The chairman of the occasion, Professor Atahiru Jega, emphasised the need to graduate students of worthy character and learning.
Jega, who is the pro-chancellor and Chairman of Council, Usman Danfodiyo University, Sokoto, said: “One can have learning and even be considered learned as lawyers refer to, but with no good character, I’m sorry to say. Also, one can be certificated without learning anything or learning much and yet have good character. But the expectation is that university graduates are positioned for the ideal of having both learning and character.”
Read Also: Tinubu, Sanwo-Olu hail AfDB President Adesina at 65
The Vice-Chancellor of the University, Professor Olufemi Peters, commended the guest lecturer for the insightful lecture addressing the issues facing the African continent.
About 17,420 students will receive various degrees during the convocation ceremony.
The figure comprises 10,967 undergraduates, 6,413 postgraduates, and 40 students graduating at the PhD level.
Among the figures, 16 students obtained First class degrees, 1,417 Second Class (Upper Division), 5,518 Second Class (Lower Division), 2,761 Third class and 138 Pass degrees.
A total of 51 inmates would graduate, including 41 undergraduates and 10 postgraduates from correctional centres.
