AdminNigeria and South Africa have agreed to strengthen bilateral ties to boost trade and investment by both countries.
To enhance economic cooperation between Nigeria and South Africa, the two leading African economies have fully operationalised the Joint Ministerial Advisory Council on Industry, Trade, and Investment.
Join our WhatsApp ChannelSouth African President, Cyril Ramaphosa, who made this known during the Nigeria -South Africa Business Roundtable in Cape Town, South Africa on Tuesday, stressed that full operationalisation of the council would provide a conducive environment for improved trade and investment.
“Today, we agreed on the full operationalisation of the Council. This will support a conducive environment for improved trade and investment.
“Through the Council, we hope to ensure the efficient resolution of trade- and investment-related challenges,” the South African president stated.
According to a statement by Bayo Onanuga, special adviser to President Bola Tinubu on Information and strategy, the meeting was attended by business leaders, government officials, and trade stakeholders, where the Nigerian leader expressed commitment to addressing issues discouraging South African investors from growing their businesses and franchises in Nigeria.
Tinubu also called on South Africa to reciprocate by allowing Nigerian companies to operate and flourish in South Africa.
He who said Nigeria is undergoing critical reforms to put the country on proper economic and bring prosperity to Africa, assured that his officials would continue collaborating with their South African counterparts to facilitate the implementation of the agreed mandates under the Bi-National Commission.
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He added that the economic reforms of his administration would help to boost investments in Nigeria. “The reforms have begun to see the light of the day. You have no better investment than in Nigeria. You cannot earn better on your investments elsewhere except in Nigeria,” Tinubu stated.
Ramaphosa acknowledged the strategic importance of Nigeria and South Africa in their respective regions. He however, pointed out that his country runs large trade deficit with Nigeria, mainly due to oil and gas imports and stressed the need for diversification of trade relations to move beyond oil and gas dependency.
“South Africa runs a large trade deficit with Nigeria, mainly due to oil and gas imports. We need to diversify our trade to ensure a mutually beneficial partnership.
“We are greatly encouraged by the presence of South African companies in Nigeria, just as we welcome Nigerian companies in South Africa.
“We do recognise that challenges still exist within our respective operating environments that limit the expansion of investment and sometimes impact on the operations of companies,” he said.
Nigeria, South Africa Set Deadline For Signing MoU On Early Warning
Nigeria and South Afroca have also agreed to sign five-year-old Memorandum of Understanding (MoU) on the Early Warning Mechanism to prevent violent attacks involving nationals of both countries
The Early Warning Mechanism is designed to monitor threats of violence, acts of criminality, and reprisals between nationals of both countries.
According to a communiqué released Tuesday at the end of the 11th session of the Nigeria-South Africa Bi-National Commission (BNC) in Cape town, the MoU will be signed not later than March 2025 during the visit of the South African Minister of International Relations and Cooperation to Nigeria for political consultations.
The communiqué also stated that “The leaders recognised the need for the two countries to create an enabling business environment.”
On the African Continental Free Trade Area (AfCFTA), which both Nigeria and South Africa have ratified, the two leaders committed to working towards increased and balanced trade between the two countries by utilising the opportunities provided by the agreement.
Nigeria and South Africa also agreed to collaborate on programmes that address mutual challenges in food and nutrition security, strengthen meaningful digital connectivity, and take leadership in developing artificial intelligence.
They also committed to expanding digital literacy initiatives and prioritising data protection and online safety for all citizens.
