Emmanuel OchayiThe Economic Commission for Africa (ECA) released a policy report aimed at steering economic diversification in Africa during uncertain times.
Titled “Exogenous shocks and commodity dependence: how diversification can fuel the green economy in Africa,” the report offers crucial insights for policymakers seeking to utilize natural resources, particularly minerals, to drive industrialization and job growth.
Speaking at the report’s launch, ECA representatives emphasized the need to leverage Africa’s mineral wealth in the wake of crises like the COVID-19 pandemic. “Our analysis reveals a significant diversification in African exports in 2020, yet it’s imperative to address the risk of continued commodity dependence,” stated an ECA official.
READ ALSO: Expert Supports CBN’s Bank Recapitalization Policy, Emphasizes Caution, Stakeholder Engagement
The report’s findings underscore the necessity for measures to redirect infrastructure, skills, and investments from the conventional mining sector toward innovative activities along mineral value chains. These recommendations gain significance in light of the ongoing COP28 discussions, focusing on the promising ‘green’ minerals boom set to offer new avenues for mineral producers to enhance value.
“This policy report provides a roadmap for African nations to tap into the transformative potential of diversification, especially amid global shifts towards a greener economy,” remarked the ECA spokesperson.
The ECA’s proactive approach in aligning economic strategies with the evolving market trends emphasizes the critical importance of Africa’s economic resilience amidst challenging times.
Follow Us