Tinubu Calls for Financial Reform to Boost Africa's Manufacturing

During the Africa Forward Summit in Nairobi, Kenya, on Tuesday, President Bola Ahmed Tinubu stated that high borrowing costs and illicit financial flows are significant factors contributing to Africa's weak manufacturing sector. In his remarks, which were communicated through his spokesperson Bayo Onanuga, Tinubu emphasized the need for reform in the global financial system to address structural disadvantages faced by African economies.

He noted that Africa's contribution to global manufacturing remains below 2%, largely due to the continent's reliance on exporting raw materials while importing finished products. Tinubu highlighted Nigeria's reforms, including the removal of fuel subsidies and a bank recapitalization program valued at $45.5 billion, aimed at restoring investor confidence.

He warned that Nigeria is expected to spend $11.6 billion on debt servicing by 2026, which significantly limits fiscal space for industrial development. Tinubu urged African nations to enhance maritime cooperation and address economic factors driving irregular migration.