In a recent update on December 31, 2024, Nigeria's Minister of Finance, Wale Edun, has asserted that President Bola Ahmed Tinubu's economic diplomacy is beginning to yield positive results. Tinubu has actively engaged in diplomatic efforts across various continents, including Brazil, China, India, Germany, and France, aiming to strengthen Nigeria's international ties and attract foreign investments. Notably, Edun led a delegation to Riyadh, Saudi Arabia, to enhance relations with Crown Prince Mohammed bin Salman, focusing on potential investments from the Saudi EXIM Bank and the Saudi Agricultural Livestock Investment Company. This delegation included key officials such as Senator Abubakar Bagudu. [1b5d1617]
During discussions, it was highlighted that the Saudi Agricultural Livestock Investment Company increased its investment in Olam by $1.2 billion on December 23, 2024, showcasing a significant commitment to Nigeria's agricultural sector. Edun emphasized the necessity of stabilizing Nigeria's macroeconomic environment to attract further foreign investments, indicating a strategic approach to economic reform. Bagudu remarked that the Saudis perceive Tinubu as a transformative leader, drawing parallels between his reforms and those of Crown Prince Salman in Saudi Arabia. [1b5d1617]
However, despite these optimistic developments, there remains a critical perspective on the overall effectiveness of Nigeria's trade agreements, which have been criticized for primarily benefiting crude oil and raw minerals exports without substantial returns in other sectors. As highlighted in earlier reports, the effectiveness of these agreements is under scrutiny, particularly in light of Nigeria's recent accession to the BRICS alliance and the challenges posed by international trade tensions, including threats of tariffs from former President Donald Trump. [4b064a4a]
The backdrop of Tinubu's extensive foreign engagements, which have included 33 trips to 18 countries in the past 18 months, raises questions about the tangible benefits of these diplomatic efforts. While recent agreements with France, promising over €300 million in financial and technical assistance for infrastructure and food security, may offer some hope, the broader economic landscape remains fraught with challenges. [4b064a4a]
As Nigeria continues to navigate its foreign relations and economic strategies, the focus must remain on creating equitable partnerships that can foster real economic growth and address the pressing issues of high unemployment and educational deficits within the country. [4b064a4a]