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Beijing style economic governance will not work for Africa, Okonjo-Iweala warns

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China has funnelled billions of dollars into aid, loans and business deals on the African continent in recent years.

But as ties continue to strengthen, former Minister of Finance Ngozi Okonjo-Iweala has warned that Beijing-style economic governance will not work for Africa.

“China has been very helpful,” particularly with building much-needed infrastructure in Africa, the two-time former finance minister told CNBC recently.

But while less economically advanced countries may wish to emulate China’s economic success, the Chinese approach of state-led development would prove unsuccessful for the majority of Africa, she said.

“In most African countries, it has been shown that state-led growth — pure state-led growth — has really not worked,” Okonjo-Iweala said, citing the example of Nigeria’s “vibrant private sector”.

In her view, the Nigerian government, through state-owned enterprises, has not shown itself capable of managing its manufacturing and heavier industries, for example.

Corruption could result from increased government intervention in business, Okonjo-Iweala said. “Some of our governments, when they get into the direct provision of jobs and services — that’s where corruption creeps in because it’s not well-handled, the institutions of state are not strong enough, the checks and balances are not strong.”

Okonjo-Iweala served as Nigeria’s finance minister twice, from 2003-2006 and most recently during 2011-2015 under previous President Goodluck Jonathan. She is a former director at the World Bank and is currently an adviser at the Asian Infrastructure Development Bank.

Nonetheless, one African country known for its economic partnership with China is Ethiopia. Infrastructure, as well as industrial parks to boost the manufacturing sector, have been built as part of Beijing’s Belt and Road Initiative, a multi-billion dollar spending plan to resurrect ancient trading routes centred on China.

Ethiopia, an East African country that has seen double-digit gross domestic product (GDP) growth as recently as 2017, has echoed China’s state-led development style.

“This approach will only work in countries where the power is highly centralised,” Anna Rosenberg, research director at emerging market advisory firm Frontier Strategy Group, told CNBC. Besides Ethiopia, she cited Mozambique and Rwanda as suitable examples.

Nigeria’s entrepreneurial society is less conducive to China-style economic management, she said.

History could also play a role, Rosenberg suggested. While Cold War allegiances to the Soviet Union may be present in some African countries, Nigeria, by contrast, is a former British colony and therefore more espoused to a free market system.

“I think China sees Africa as a strategic continent that it wants to be a partner with,” Okonjo-Iweala said. “Africa does have the natural resources that China lacks in many ways.”

But she added that in her view, this partnership extends beyond pure economic deals. “I believe strongly there is overarching political and soft power that is involved.”

For Okonjo-Iweala, it is important to demonstrate the fruits of African business deals with China to the public. She described Beijing-funded new airport terminals in the Nigerian capital, Abuja, as an example of this because “people will be able to see them, and witness them, and know that the money went into something concrete”.

Last week, China’s state-run news agency Xinhua reported that Nigeria had signed a deal with the China Civil Engineering Construction Corporation to build a railway from its economic hub Lagos to Kano, a commercial hotspot in the north of the country.

African countries must enter business deals with China “with our eyes open,” Okonjo-Iweala said, to capitalise on its manufacturing expertise and technological development.

Africa is in the process of expanding its manufacturing sector in an attempt to bolster economic development. Nigeria, as part of an attempt to wean itself off oil dependence, has grown its manufacturing base from just 2.5 per cent of value added to GDP in 2009 to 8.8 per cent in 2016, according to the World Bank.

But with regards to regulating Africa-China business deals, “we are absolutely not there,” Okonjo-Iweala said, although she added that this is varied among African countries. Providing that fair and transparent agreements are drawn up, “we can work with China – why not?”

Credit: CNBC

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Energy

Ogoni Re-entry is a Beacon of Reconciliation through Collaboration – NNPC Ltd

By ORJI ISRAEL

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Group Chief Executive Officer of NNPC Ltd, Engr. Bashir Bayo Ojulari
Group Chief Executive Officer of NNPC Ltd, Engr. Bashir Bayo Ojulari

The re-entry into Ogoniland marks a historic turning point for Nigeria, not just in terms of oil production, but more broadly, this milestone reflects the spirit of President Bola Ahmed Tinubu’s Renewed Hope Agenda, which commits to building a stronger country, attracting responsible investment, and ensuring that community development is at the heart of national progress.

Speaking during the presentation of the Ogoni Consultations Report at the State House in Abuja on Wednesday, President Tinubu acknowledged that the Ogoni people have endured long years of pain, and that this re-entry reflects the government’s recognition of their sacrifices.

“We are not, as a government, taking lightly the years of pain endured in Ogoniland. We recognise that, otherwise we would not be here today…We declare with conviction that hope is here and is back with us,” the President said.

The Group Chief Executive Officer of NNPC Ltd, Engr. Bashir Bayo Ojulari, echoed the President’s sentiments, calling the development a re-affirmation of the company’s unwavering commitment to the Ogoni re-entry plan and a bold step towards justice, healing, and national prosperity. He emphasized that the re-entry demonstrates that Nigeria can confront its past, honour the sacrifices of its communities, and forge a new path with a vision of prosperity and justice for all.

“The re-entry into Ogoniland is not just about oil and gas. It is about justice, healing, and charting a new future for our nation,” Ojulari said.

Ogoni re-entry can be seen as both a test and an opportunity for the country. It demonstrates that equity can exist in national development, and oil can co-exist with environmental stewardship and inclusive nation-building. This milestone is a practical example of how President Tinubu’s Renewed Hope Agenda translates into reality by strengthening our country, creating conditions for responsible investment, while prioritising the prosperity of host communities.

Ojulari acknowledged the pivotal leadership of the National Security Adviser, Mallam Nuhu Ribadu, in convening a committee that brought diverse stakeholders together, creating the platform for dialogue and consensus that made this breakthrough possible. He also praised the work of Professor Don Baridam and members of the Presidential Committee, who engaged tirelessly and transparently with all relevant parties to produce a report that tells a story of fairness and inclusivity that will ultimately bring closure and renew hope for the Ogoni people and all Nigerians.

“The lesson is that this journey cannot be driven solely by production volumes. It must be anchored on justice, equity, sustainability, and most importantly, collaboration with the very people whose land bears this wealth,” he stated.

To that end, Ojulari was categorical that in resuming operations in Ogoni, NNPC Ltd will continue to build trust by prioritising community engagements with key stakeholders, investing in infrastructure, and empowering local enterprise.

He confirmed that NNPC has already began initiatives in road construction, infrastructure upgrades, and economic empowerment programs designed to rebuild trust and demonstrate accountability in an inclusive manner. “NNPC Ltd is determined to transform Ogoniland from a symbol of conflict into a beacon of reconciliation, renewal, and sustainable progress,” he concluded.

In his remarks, the National Security Adviser, Mallam Nuhu Ribadu, echoed the general sentiments that sustainable progress is possible and proven through collaboration with all parties concerned. He said the report was the outcome of an intensive, methodical, and transparent engagement, while Professor Baridam, on behalf of the Committee, thanked the President for his unwavering commitment to the well-being of the Ogoni people, stressing that through diplomacy and relentless insistence on dialogue, host community trust was earned, and hope restored.

This restored hope is also a message for the international community— Ogoni re-entry is more than a Nigerian milestone. It is a classic example of how a resource-rich nation like Nigeria can reconcile environmental protection with energy security. By placing community benefit at the centre, Nigeria is rewriting the global playbook on how oil and gas operations can co-exist with local aspirations, sharing a global example of how energy development can be reconciled with environmental protection and community inclusion.

For Nigeria, it signals progress is being redefined as a partnership between government, industry, and the people.

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Energy

Sahara Group Highlights Collaborative Approach to Africa’s Energy Transition at AEW 2025

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Sahara Group

Sahara Group, a leading global energy and infrastructure conglomerate, will spotlight “cooperation, innovation and sustainability” as crucial elements for Africa’s energy transition during the 2025 Africa Energy Week (AEW) in Cape Town.

For three decades, Sahara Group has powered growth and broadened access to energy across Africa and will through its delegation to the AEW urge the continent’s stakeholders, policy makers, and governments to join forces towards driving Africa-centric solutions for all sectors in the energy value chain. 

The 2025 Africa Energy Week (AEW), scheduled for Cape Town, South Africa, from September 29 to October 3, will focus on the theme: “Invest in African Energies: Positioning Africa as the Global Energy Champion.”

Speaking ahead of the event, Ade Odunsi, Executive Director, Sahara Group, said “Sahara Group believes Africa can shape a future that secures energy access for Africans safely, reliably, and sustainably by leveraging technology, innovation, and collaborating on policies to drive affordable, reliable, and cleaner energy across the continent.”

Sahara Group’s delegation to AEW 2025 include Leste Aihevba, Chief Technical Officer, Asharami Energy, a Sahara Group Upstream Company, Bethel Obioma, Head Corporate Communications, Sahara Group, Dr. Tosin Etomi, Head of Commercial and Planning, Asharami Energy, and Mariah Lucciano-Gabriel, Head of Integrated Gas Ventures, Asharami Energy.

Aihevba, who is leading the charge for advancing digital oilfield technologies to drive triple digit growth ambitions, will showcase how domestication of international best practices can help shape the local capacity building narrative to deliver significant improvements in operational efficiency and climate conscious sustainability initiatives in Africa.

“Asharami Energy is aligning global best practices with local realities, building capacity, and driving operational excellence across our portfolio. This synergy of innovation and responsibility is what ensures we deliver value today while safeguarding the energy future of tomorrow.”

Etomi will highlight the critical role data should play in harnessing opportunities for growing the energy sector in Africa. “Data has become the most powerful currency in building efficiency and resilience. By applying advanced analytics to our operations across Africa, we are improving asset performance, enhancing transparency, and unlocking financing pathways that ensure African energy projects compete on a global stage.”

Lucciano-Gabriel will speak on gas commercialisation, highlighting Gas as Africa’s bridge to a cleaner energy future. “With projects focused on capturing and monetizing flare gas, Asharami Energy is at the helm of efforts that are not only boosting domestic energy availability and driving the Nigerian Decade of Gas strategy but also curbing emissions and accelerating sustainable growth across the continent.”

Obioma, who will moderate the AEW 2025 session on “Rethinking Utility Models to Build Resilient and Affordable Electricity Markets,” said “The future of electricity in Africa will be defined by models that support a mix of micro grids, mini grids, national grids and renewable solutions, designed to serve communities and industries sustainably.”

With an integrated energy model spanning upstream, midstream, downstream, power, and infrastructure in Africa, Asia, Europe and the Middle East, Sahara Group remains committed to delivering value across the energy value chain.

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Energy

Fresh Crisis Rocks NUPENG as Stakeholders Call for Resignation of President, General Secretary

By ORJI ISRAEL

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NUPENG and Dangote

The embattled President and General Secretary of Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), Comrades Williams Akporeha and Afolabi Olawale, have taken fresh swipe from Petroleum Tanker Drivers (PTD) just as the Branch stakeholders called for the duo’s immediate resignation in order to give room for fresh air and stability in the union.

The latest call was contained in a statement signed by Comrade Preye Odede-Graham on Sunday, September 21, 2025, on behalf of PTD elders and stakeholders, Comrades (Alhaji) Tajudeen Abubakar (Kaduna Zone), Chief (Comrade.) Edafe Osas (Warri Zone), Comrade Joseph Dagogo-Jack (JP) (Port Harcourt Zone) and Comrade Kolade Fadahunsi-Ojelabi (Lagos Zone).

This latest onslaught came on the heels of ongoing industrial disputes between Dangote Refinery, NUPENG, the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), the Independent Petroleum Marketers Association of Nigeria (IPMAN), and other industry Associations. 

PTD blamed the recent woes befalling NUPENG on the lacklustre attitude of the union’s President as well as intimidation, victimization and harassment of the members of PTD by the General Secretary which is at variance with the extant rules of the union as well as human dignity.

PTD maintained that they no longer wanted to be used as attack dogs against the federal government especially President Bola Ahmed Tinubu and other players in the industrial ecosystem.

They lampooned leaders of NUPENG over their failure to hail the tenacity of Dangote Refinery for standing against all odds to defeat the process pressure and market disruption with the 650,000 bpd capacity alongside with the 4000 CNG trucks tankers and 6000 truck cargoes totalling 10000 trucks costing N2 trillion to move the products to the consumers at no cost, with value added of over 40,000 jobs. 

They also begged President Tinubu to ensure high tariffs increase to discourage fuel importation and add increased crude supply to Dangote Refinery with licence for oil exploration. They further advised Mr. President to nationalise oil well so as to allow for proper dredging which majority licensed sites were desolate and moribund.

They begged law enforcement agencies, anti-graft agents, industry regulators, Federal government, stakeholders in trade union, media, civil society, legal profession, etc, to support them to commence the re-engineering of NUPENG by showing Afolabi and Williams the exit doors from the union so that the petroleum industry could get the much anticipated liberation. 

“On this note, we therefore appeal to all our members in PTD and others in various branches not to be despaired, let us join hands together and win the battle against these common enemies and stop them once and for all, these multidimensional nonsense and slavery in the union must be hurriedly put to stop. United, we stand against every economic saboteurs and enemies of progress in Nigeria’s economic powerhouse” the statement said.

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