Speaking to CNN’s Christiane Amanpour, AFDB President Akinwumi Adesina stated that the days of Africa’s dependence on foreign aid are over. They discussed the Trump administration’s trade war and its impact on the African continent.
Adesina says the continent has adequate resources, including unique minerals and renewable resources, helping increase its trading power. True to that, the discovery of minerals within Africa is helping improve people’s livelihoods, especially by involving women and youth in critical trade affairs. For example, the women of Migori County, Kenya, are part of the gold mining deposits in the region.
Undoubtedly, Africa is a renewable energy hub, a key attraction for major global investors. “Africa is an investors’ dream,” Adesina stated. Despite the tariffs, he said such resources are key in countering financial strains.
Also, the AFDB president emphasizes the need to prioritize the domestic market. This includes empowering rural areas with green energy resources. “You don’t grow by depending on others, you grow by expanding your domestic resources.” Adesina highlighted how the continent can maximize its hydropower, solar power, and vast fertile lands. He states that the African Trade Market has the potential to grow beyond its current $3.4 trillion value.
The African Development Bank is leading the way in offering and sourcing funds for respective projects and initiatives. Climate financing helps address monetary shortages through crucial strategies around the continent. Importantly, funding includes aid to help with climate calamities. For instance, the AFDB has invested over $55 billion in Africa’s infrastructure.
When asked why Africa only contributes 3% of the global GDP, Adesian insists that many African countries depend on exporting raw materials. Through local manufacturing and processing, the continent can compete against 1st and 2nd world economies.
According to Akinwumi Adesina, loans should be concessional funding, helping creditors and debtors build a better work environment.
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