Africa: “Poverty Will Be Eradicated In The Next Decade.” -Vice President Osinbajo

VICE President, Yemi Osinbajo, has affirmed that every smart economic grouping, whether governments or businesses, must be thinking, planning and strategizing for advancement.

Prof. Osinbajo who stated this during the 2021 Conference of African Insurance Practitioners, urged African practitioners to leverage the transformational opportunities, presented to them by the African Continental Free Trade Area (AfCFTA), regardless of the challenges posed by climate change.

He noted that the free trade agreement was capable of alleviating extreme poverty in Africa, as well as improving the potential income of the average African.

Professor Osinbajo who explained that more trade in goods and services will greatly improve Africa’s insurance industry and demands for insurance services, predicted that companies with market presence in other African countries, stand a chance to benefit more from this development.

In his words, “Africa’s economic future might really be at risk if we do not find our voices and, in unison, insist that the necessary speed to zero emissions must not mean disaster for our African economies.”

Continuing, the VP noted that well capitalized insurance providers from other African countries will soon be competing in the Nigerian market, and Nigeria financial services companies, especially banks, which are already in many African Countries, will benefit greatly from this eye opening development.

On the issue of climate change, the vice president Osinbajo lamented the effect of the growing intensity of flooding on agriculture and other sectors of the economy, and expressed his concerns over the halt of public funding for certain fossil fuel projects abroad.

According to him, the seven European countries including France, Germany, and the United Kingdom, who now ban and restrict public investments in fossil fuels, built their own economies on fossil fuels and gas.

The World Bank and other multilateral development banks are also being urged by some shareholders to do the same, regardless of the visible inability of African Development Bank, to support large natural gas projects.

Highlighting the implications of the current trend of wealthy countries to reduce their commitment to carbon in Africa’s growing oil and gas markets, the Vice President urged all African insurance companies to speak up and act.

“We must be at the forefront of the campaign for a just and equitable transition to a low carbon future. This means that we cannot accept a defunding of gas projects when gas is an important transition fuel for us.” He said.