News

China-Nigeria Relations Poised for Growth Amidst Global Reforms

Published

3 months ago

September 22, 2024

Gloria Ikibah

…as stakeholders say partnership key to economic and cultural growth

By Gloria Ikibah

As a fallout of the just concluded Forum on China Africa Cooperation (FOCAC) held in Beijing, China, which had President Bola Tinubu of Nigeria in attendance, the Chinese Embassy in Nigeria has held a seminar focused on “Taking New Opportunities for China-Nigeria Cooperation in Deepening Reform in a New Era”.

During this recent visit, in addition to economic cooperation, President Xi Jinping of China and Nigeria’s President Bola Tinubu, agreed to elevate bilateral relations to a comprehensive strategic partnership and this agreement is expected to deepen political trust and strengthen cooperation in trade, investment, and international diplomacy.

In his welcome address the Chinese Ambassador to Nigeria, Ambassador Yu Dunhai emphasized the strengthening relationship between China and Nigeria.

The event gave insights into China’s ongoing reforms and their relevance to Nigeria, calling attention to the deep potential for collaboration between the two countries.

The Chinese Ambassador referenced the Third Plenary Session of the 20th Central Committee of the Communist Party of China, which concluded in July 2023. This meeting according to him, emphasized comprehensive reforms aimed at advancing Chinese modernization.

Ambassador Yu, also explained that these reforms, which included over 300 key measures, play a crucial role in China’s continued development, even as he drew parallels between China’s past and Nigeria’s current situation, and stressed how similar reforms could benefit Nigeria’s growth.

He highlighted the historic significance of the Third Plenary Sessions in China’s transformation and said the 1978 session, which introduced reforms and opened China’s economy to the world, was pivotal in moving the country toward modernization.

Adding that over the last 45 years, these reforms have driven China’s rapid growth, raising its per capita GDP from $200 in 1978 to $12,000 by 2000.

The ambassador noted that Nigeria, with a current per capita GDP of approximately $17,000, is well-positioned for significant economic advancements, provided it adopts similar reform and development strategies.

Yu underscored the importance of continuous reforms, explaining that outdated policies can become obstacles to progress.

China’s success, according to him, lies in its ability to adapt and reform when necessary.

“This constant evolution has qualified China to become the world’s second-largest economy, surpassing Japan in 2010, and Ambassador Yu believes that Nigeria, with its large youthful population and abundant talent, can achieve similar milestones through dedicated reforms and sustained efforts toward modernization.

Another thing which was part of the conversation of Ambassador Yu, was the importance of opening Nigeria to the world, by drawing from China’s historical lessons, he cautioned against isolation, stressing that countries must learn from others while retaining their unique cultures and identities.

He cited China’s experience with electric vehicles (EVs) as an example of how opening up and fostering competition can drive innovation, especially as of today, China produces over half of the world’s EVs, a remarkable achievement he attributed to the country’s open market and global competition.

The Chinese ambassador therefore expressed optimism about the future of China-Nigeria relations, stating that both countries stand to benefit from deeper collaboration, even as he emphasized that his mission was to promote stronger ties between the two nations, working closely with various stakeholders in Nigeria to achieve mutual growth.

In his remarks, President of the China Alumni Association of Nigeria, Mohammed Sulaiman, emphasized the importance of cultural identity and partnerships in fostering national development.

Mohammed who is also the National President of the Society of Nigerian Artists (SNA), drawing comparisons between Nigeria and China, underscored how China’s economic rise has been driven by a strong adherence to its cultural heritage.

He noted that many African countries, including Nigeria, have struggled with development because they often drift from their cultural roots in an attempt to mimic foreign models.

Suleiman who opined that China’s success in maintaining its cultural traditions while pushing for economic reforms is something Nigeria can and should learn from, and stressed that Nigeria must focus on its own identity to create sustainable development.

According to him, “If China can become a global power by staying true to its culture, why can’t Nigeria do the same in Africa?”

Emphasising on the growing relationship between Nigeria and China, particularly in infrastructure projects, he noted that Nigeria has benefitted from China’s investments, such as the expansion of railways and seaports, which have created jobs and boosted the economy. For example, the construction of rail lines across the country has provided employment opportunities and improved transportation, which in turn supports trade and commerce.

In addition to infrastructure, the Alumni President applauded the trade relationship between the two nations, and stated that Nigeria’s trade with China reached $22.6 billion in 2023.

Sulaiman also discredited the notion that China is merely dumping goods in Nigeria, and emphasised that China is a significant buyer of Nigerian raw materials, and called it a “win-win situation” for both countries.

However, he warned against relying solely on international partnerships and urged Nigeria to develop its own reform strategies, much like China’s periodic review system, to ensure steady progress.

“We cannot just sit and wait for things to happen because we are partnering with China,” he stated.

He also touched on social reforms, recommending for a revival of traditional Nigerian culture, an expansion of education and healthcare, and increased civic engagement, as he believes that these cultural and social changes are essential for Nigeria to achieve true development and strengthen its position on the global stage.

In conclusion, Sulaiman called for enhanced nationalism and a stronger focus on the values that define Nigeria, even as he urged the country to deepen its reforms in line with its cultural identity, following China’s model of balancing tradition with modernity.

“Nigeria must develop its own deepening reforms alongside China’s,” he said.

He added that this approach will help the nation secure its place in the world.

The seminar provided a platform for attendees to understand the significance of China’s reforms and how they might inspire Nigeria to chart a similar path toward modernization.

With China’s support, Nigeria could leverage new opportunities for economic development and global cooperation.

News

Photos) Obi Visits IBB, Reveals Their Discussion

Published

3 hours ago

January 2, 2025

Kayode Sanni-Arewa

(By Kayode Sanni-Arewa

Peter Obi, the 2023 Labour Party (LP) presidential candidate, paid a visit to former military president, General Ibrahim Badamasi Babangida (IBB), at his residence in Minna, Niger State.

In a post shared on his X account on Thursday, Obi confirmed the visit, which followed his earlier meeting with Jigawa State Governor Umar Namadi.

The discussions with IBB reportedly centered on national issues, with Obi also taking the opportunity to wish the elder statesman a happy new year.

Describing Babangida as a “father figure” and “wise man,” Obi expressed his admiration for the former leader’s insights and guidance.

He wrote:
“From Jigawa State, I traveled to Minna, Niger State to pay a visit to a father figure, elder statesman, and leader, the former military president, General Ibrahim Badamasi Babangida, at his residence in Minna. The visit was an opportunity to wish him a happy New Year and to exchange thoughts on national issues.

“General Babangida’s wisdom and perspectives remain very important, and I always deeply appreciate the chance to visit him and listen to his invaluable advice and words of wisdom.

“A new Nigeria is POssible!”

News

After Obasanjo’s outburst NNPCL invites him to PH Refinery, Speaks on ‘Halting Crude Oil Supply to Dangote

Published

3 hours ago

January 2, 2025

Kayode Sanni-Arewa

By Kayode Sanni-Arewa

The Nigerian National Petroleum Company Limited (NNPCL) has invited former President Olusegun Obasanjo to visit the Port Harcourt Refinery and assess its operational status firsthand.

Naijablitznews reports this is coming barely hours after the former president’s on the reactivated refineries.

Obasanjo had granted interview on Channels Television, in which he cited advice from Shell Petroleum Development Company (SPDC) raising concerns about the refinery’s potential inefficiency.

SPDC, which had been approached for equity participation in the refinery, reportedly attributed these concerns to corruption impacting operations.

Obasanjo also accused NNPCL of misleading the public regarding the refinery’s performance.

In response, NNPCL’s Chief Corporate Communications Officer, Olufemi Soneye, emphasized the company’s commitment to transparency and invited Obasanjo to see the progress made since the refinery’s rehabilitation.

Soneye highlighted that the rehabilitation efforts involved more than just maintenance, but a complete overhaul to meet international standards, with similar projects underway at the Warri, old Port Harcourt, and Kaduna refineries.

Soneye also noted that NNPCL’s transition from a government corporation to a private entity with limited liability has refocused the company on profitability, aiming to position it as a competitive global energy player. He reassured Nigerians of NNPCL’s dedication to sustaining operations that meet global standards and contribute to the nation’s energy security.

Addressing Obasanjo’s comments, Soneye acknowledged the former president’s role in national discussions and reaffirmed NNPCL’s commitment to a brighter future. Regarding rumors about NNPCL cutting crude oil supplies to the Dangote Refinery, Soneye dismissed the reports as false, indicating there was no need to respond to such claims.

News

Oil Prices Rise On First Trading Day Of 2025

Published

4 hours ago

January 2, 2025

Kayode Sanni-Arewa

By Kayode Sanni-Arewa

On Thursday, marking the inaugural trading day of 2025, global oil prices experienced a modest increase.

Brent crude futures experienced an increase, reaching $74.80 a barrel by 0547 GMT, marking a gain of 17 cents, or 0.06%

Meanwhile, U.S. West Texas Intermediate crude futures rose by 19 cents, or 0.26%, settling at $71.91 a barrel

On Tuesday, New Year’s Eve, Brent crude oil prices increased by 65 cents, while West Texas Intermediate (WTI) saw a rise of 73 cents on the same day

In 2024, global oil prices experienced significant fluctuations, driven by ongoing conflicts in the Middle East and a notable decline in oil demand from China

China’s Economic Growth Fuels Optimism.

Investors are closely monitoring the expansion of China’s economy.

According to a report by Reuters, oil investors are expressing optimism regarding potential growth in China’s economy, which may lead to increased oil demand from the Asian powerhouse

This sentiment follows President Xi Jinping’s commitment to fostering growth by 2025

In his New Year’s address, the President of China committed to enacting more proactive policies aimed at stimulating economic growth in 2025

China’s factory activity experienced sluggish growth in December 2024, according to a recent survey by Caixin and S&P Global

However, there are indications of a modest recovery in the services and construction sectors, pointing to the potential impact of policy stimulus measures.

Impact of US Economic Policies

As US President-elect Donald Trump prepares to take office on January 20, investors are expressing concerns about the potential effects of tariffs

Due to the New Year holiday, the Energy Information Administration has delayed the release of the weekly U.S. oil stocks data until Thursday, which investors are currently anticipating

Market analyst Tony Sycamore shared insights with Reuters, noting that the weekly chart for WTI is narrowing, suggesting that a significant price movement is on the horizon

The upcoming US ISM manufacturing release is poised to play a crucial role in determining the next direction for crude oil prices.

Instead of attempting to forecast the direction of the impending break, he suggested that it would be more prudent to observe it as it happens and then align with it.

Nigeria’s oil price assumption for the year

The administration of President Bola Tinubu has established the 2025 budget based on the expectation that global oil prices will hover around $75 per barrel.

Additionally, the government has committed to increasing oil production to exceed 2 million barrels per day

Elements influencing oil prices in 2025. We project China’s oil demand to peak in 2025. We anticipate an increase in oil prices should this occur

The Economic and Technological Research Institute (ETRI) of the China National Petroleum Corporation forecasts an increase in oil demand to around 770 million tonnes in the world’s second-largest economy by 2025. India’s Demand: If demand surges in India, the country with the highest population globally, we could witness a significant increase in oil prices. Analysts predict that India is poised to overtake China as the dominant oil market in Asia.

Trump’s commitment to the slogan “drill, baby, drill” has sparked significant discussion regarding energy policies and environmental implications. Upon taking office, President Trump has committed to an immediate increase in oil production within the United States. Experts suggest that this scenario may be unlikely, as the private sector predominantly influences the oil and gas industry in America. The impact of OPEC: Last year, the Organization of the Petroleum Exporting Countries (OPEC) faced challenges managing oil prices despite implementing production cuts.

We cannot yet predict the potential impact on the oil market in 2025. Analysts suggest that OPEC’s influence in the global oil market has diminished compared to its historical prominence.