Adeleke: AfCFTA, geopolitical shifts to shape SSA security & supply chains in 2025
Supply Chain Africa believes regional initiatives such as the African Continental Free Trade Area, geopolitical realignment and BRICS influence are among top 5 dynamics that will shape security and supply chains in Sub-Saharan Africa this year. Adebayo Adeleke, CEO of Supply Chain Africa says the continent is at the crossroads of significant transformation and understanding the relationship between these dynamics have become crucial. He joins CNBC Africa for more.
Thu, 16 Jan 2025 11:47:46 GMT
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AI Generated Summary
- The importance of addressing human security in conjunction with trade and geopolitics to facilitate progress and development in Sub-Saharan Africa
- The impact of geopolitical changes and protectionist policies on African markets and the need for unity and diversification in response
- The critical role of major markets and strategic investments in technology and infrastructure to enhance security and drive sustainable growth in the region
Africa is standing at a pivotal moment in history, with regional initiatives such as the African Continental Free Trade Area (AfCFTA), geopolitical realignment, and BRICS influence poised to significantly shape security and supply chains in Sub-Saharan Africa. Adebayo Adeleke, CEO of Supply Chain Africa, shared his insights on these dynamics and the challenges and opportunities they present for the continent. Adeleke highlighted the crucial importance of understanding the relationship between these factors, emphasizing the need to address human security to facilitate progress in trade and infrastructure development. He expressed concerns about the impact of non-state actors and the weaponization of supply chains, stressing the need for a unified approach to tackle these complex issues. Looking back at 2024, Adeleke reflected on the progress made with the AfCFTA and underscored the need for greater awareness of the interconnectedness of human security, geopolitics, and trade. He pointed out that without addressing various dimensions of human security, including food, economic, and political security, advancing regional alignment and supply chain diversification would be challenging. Adeleke also discussed the changing geopolitical landscape, noting the implications of events such as the election of new leaders and the protectionist stance adopted by some countries, including the United States. He cautioned about the use of tariffs and the potential barriers they could create for African products in global markets, while also highlighting opportunities for leveraging Africa's critical minerals to engage with major economies like the US and the BRICS nations. Adeleke stressed the importance of unity among African countries to navigate these challenges and explore alternative trade routes in the face of protectionist policies. He urged for a coordinated effort to speak with one voice and enhance market integration to bolster the continent's resilience against external pressures. The conversation extended to the evolving energy landscape and the role of critical minerals in the transition to cleaner energy sources, signaling the need for strategic positioning in global forums to advance Africa's interests. As discussions unfold at events like the Future Minerals Forum and the World Economic Forum, the focus remains on aligning priorities and addressing key issues affecting the continent's development. Adeleke also highlighted the pressing need for African leaders to address blind spots related to security and infrastructure, emphasizing the detrimental effects of neglecting these fundamental aspects. He called for a collective effort to prioritize security concerns and invest in technology and infrastructure to drive sustainable growth and stability. While acknowledging the challenges of achieving unity and coherence among African nations, Adeleke underscored the pivotal role of major markets like Egypt, Nigeria, South Africa, and Algeria in setting the pace for regional cooperation. By taking the lead in addressing security risks and promoting technological advancements, these countries can pave the way for a more cohesive and resilient Africa. As Sub-Saharan Africa navigates a complex landscape marked by geopolitical shifts and security challenges, the importance of strategic decision-making and collaborative action cannot be overstated. By understanding the interplay between security, trade, and regional dynamics, African nations can chart a path towards a more secure and prosperous future.