Why Nigeria must trade more with South Africa - Akin Oyebode

In a recent business round table discussion held in Lagos, Akin Oyebode, the Executive Secretary of the Lagos State Employment Trust Fund, highlighted the importance of fostering greater economic ties between Nigeria and South Africa. Oyebode emphasized the need for reciprocity between the two largest economies in Africa, stressing the notion that what benefits one nation should also benefit the other. He underscored the significance of viewing Africa as a single large economy and advocated for the removal of barriers that hinder the free movement of people and goods between the two countries. Oyebode further suggested that both nations could learn from each other, citing the thriving pot business in Durban, South Africa, as a potential model for Nigeria to emulate. He urged for the exchange of ideas and best practices to promote economic growth and development in the region. One of the key considerations raised during the discussion was the economic development challenges facing Africa, with comparisons drawn to countries like Kenya and Rwanda which have made significant progress in this regard. Oyebode acknowledged the slower pace of economic revitalization in larger economies like Nigeria and South Africa but emphasized the importance of fostering openness and streamlining processes, such as simplifying visa procedures and enhancing infrastructure development to attract investments and spur growth. He called for a focus on capital formation and underscored the need for both countries to address infrastructure deficiencies, including water and power crises, to create a conducive environment for business operations. Oyebode also highlighted the existing business collaborations between Nigeria and South Africa, citing examples such as MTN's plans to list its Nigerian subsidiary and the presence of South African companies like Standard Bank in the Nigerian market. He noted the vast market opportunities in Nigeria with its population of 180 million people, making it an attractive destination for South African businesses. Oyebode expressed optimism about the potential for increased trade and business partnerships between the two nations, citing the personal connections of leaders like the new president of South Africa, who has ties to Nigeria through his previous role at MTN. The call for enhanced economic cooperation between Nigeria and South Africa resonates with the broader goal of promoting intra-African trade and fostering mutual growth and development. As the two largest economies on the continent, Nigeria and South Africa have the potential to serve as examples of successful economic collaboration, setting a standard for other African nations to follow. By leveraging each other's strengths, sharing knowledge and experiences, and addressing shared challenges, both countries can work towards achieving sustainable economic progress and advancing the prosperity of the region.