Business:
Okonjo-Iweala Calls For AI, Renewable Energy Investments To Tackle Economic Shocks
The WTO DG said the continent could no longer rely on exporting raw commodities while other regions captured the wealth created through technology, manufacturing and innovation.
World Trade Organization (WTO) director-general Ngozi Okonjo-Iweala attends a press conference on WTO trade forecast at the intergovernmental trade organization in Geneva on April 12, 2022. Fabrice COFFRINI / AFP
Africa must move urgently to position itself at the centre of the next global economic transformation or risk being left behind once again.
That was the stark message from Director-General of the World Trade Organization (WTO), Dr. Ngozi Okonjo-Iweala, who challenged African governments to invest aggressively in artificial intelligence (AI), renewable energy and critical mineral value chains to shield their economies from mounting global shocks and unlock long-term prosperity.
Addressing policymakers, investors and business leaders at the 7th Africa Emerging Markets Forum, Okonjo-Iweala said the continent could no longer rely on exporting raw commodities while other regions captured the wealth created through technology, manufacturing and innovation.
Although African economies are gradually recovering from years of disruption caused by the COVID-19 pandemic, inflation, supply-chain disruptions and geopolitical conflicts, she warned that current growth levels remain too weak to deliver the jobs, industries and prosperity demanded by the continent’s rapidly expanding population.
READ ALSO: Nigeria’s Economy Resilient To External Shocks – Cardoso
She noted that the future belongs to economies that innovate, create value and invest in people, and urged governments to make deliberate investments in digital infrastructure, education, research, artificial intelligence and renewable energy.
Okonjo-Iweala also called on African countries to strengthen their role in global critical mineral supply chains by processing and adding value to the vast deposits of lithium, cobalt, manganese, graphite and rare earth minerals found across the continent instead of exporting them in raw form.
According to the WTO chief, Africa’s abundance of strategic minerals presents a once-in-a-generation opportunity to become a major player in the global green and digital economy, provided governments create the right policies to attract investment and develop local industries.
She further warned that mounting public debt continues to undermine economic transformation, urging governments to pursue fiscal discipline while directing scarce resources toward productive investments capable of driving sustainable growth.
Her remarks come as countries around the world are racing to dominate artificial intelligence and secure access to the critical minerals required for electric vehicles, batteries, semiconductors and advanced technologies, all within industries that are expected to shape global economic competitiveness over the coming decades.
Analysts say Africa holds some of the world’s largest reserves of these minerals, yet continues to capture only a fraction of their economic value because most are exported without significant local processing.
Also speaking at the forum, Governor of the Central Bank of Nigeria (CBN), Mr. Olayemi Cardoso, stressed that macroeconomic stability remains fundamental to attracting investment and sustaining growth.
He said the apex bank would continue pursuing policies aimed at maintaining price stability, strengthening investor confidence and safeguarding Nigeria’s financial system despite increasing global economic uncertainty.
The 7th Africa Emerging Markets Forum, themed “Building Resilience Amidst Geoeconomic Uncertainties,” convened government officials, central bankers, economists, investors and development partners to examine how African economies can navigate rising geopolitical tensions, trade fragmentation and financial volatility while accelerating sustainable development.
