The week ahead - Familiar struggles
Nigeria and Ghana face ongoing challenges, including soaring costs and mining violence.
As the United States flips a new page with the inauguration of its 47th president, Nigeria remains mired in familiar struggles. Living costs continue to soar, governors dance around tax reforms, and outrage grows over plans to resume oil production in a once-ravaged land. Some financial institutions are poised to face repercussions for their nonchalance even as BVN enrollments rise marginally. In Ghana, tensions escalate following a bloodbath in a goldmine as the president pursues proactive diplomacy with his neighbours.
Chart of the week
Following the inauguration of Donald Trump for his second term, he issued a slew of Executive Orders. We took a look at how those could affect Africa. Meanwhile, in more geopolitics, Nigeria has officially joined the BRICS alliance following Uganda's recent inclusion as a partner country, strengthening its economic, trade, and geopolitical ties with member countries China, India, Brazil, and Russia. Our managing partner spoke about it to CGTN.
Keep an eye out for
African leaders are pushing for fully implementing the African Continental Free Trade Area (AfCFTA) agreement. The goal is to boost Africa's economy to a staggering $29 trillion by 2050. Speaking at the 'Friends of AfCFTA' forum in Davos, Switzerland, Nigeria's Vice President, Kashim Shettima, reaffirmed Nigeria's commitment to the AfCFTA, highlighting its potential for digital transformation, economic integration, and shared prosperity. World Economic Forum President Borge Brende echoed Shettima's sentiments, stating that Africa's demographic advantage presents substantial economic opportunities and that full implementation of the AfCFTA could boost intra-African trade by 50%.
Stories we watched this week
Nigeria's Governors' Forum has endorsed a revised VAT sharing formula, allocating 50% equally, 30% by derivation, and 20% by population.
Nigeria's inflation rose to 34.8% in December 2024, with food inflation at 39.84%, amid telco tariff hikes and petrol price increases.
Nigeria's telecom regulator approved disconnecting nine banks, including FCMB and UBA, from mobile banking services over unpaid debts.
Nigeria's BVN enrolments rose to 64.83 million as the CBN introduced services for diaspora Nigerians.
Environmentalists condemned Nigeria's plan to resume oil production in Ogoniland, demanding talks, a production halt, and cleanup compensation.
A Ghanaian miners' association accused soldiers of killing nine unarmed individuals, while the army claimed seven illegal miners died in a firefight.
Ghana's president has appointed a former national security chief as envoy to the Alliance of Sahel States, aiming to repair ties that had soured under the previous government.