Tinubu Discusses the Factors Behind Africa’s Underdevelopment

President Bola Tinubu highlighted that Africa possesses a substantial share of the world’s mineral reserves, including 92% of global platinum, 56% of cobalt, and 54% of manganese; however, the continent remains underdeveloped.

He attributed this underdevelopment to the practice of extracting these resources primarily for export to foreign nations, where they are refined and manufactured. Tinubu made these remarks through his Vice President, Kashim Shettima, during a keynote address at the African Minerals Strategy Group (AMSG) meeting, which took place alongside the 79th Session of the United Nations General Assembly in New York. The event’s details were communicated to journalists in Abuja by Mr. Stanley Nkwocha, the presidential spokesperson.

In his address, President Tinubu emphasized that the continuous extraction of raw minerals in Africa perpetuates poverty within the continent. He asserted that exporting these resources without local processing exacerbates underdevelopment and prolongs economic struggles.

He called for an urgent shift away from dependency on foreign markets, stating, “This situation leaves the continent vulnerable, forcing it to buy back finished products at significantly inflated prices. The extraction of raw minerals from our countries, their export for refinement, and subsequent sale back to us as finished goods merely entrenches our misery and deepens our underdevelopment.”

Tinubu urged African nations to embrace a new agenda that focuses on local value addition, which is crucial for the continent’s industrialization and sustainable economic growth.

Addressing advancements in lithium-ion technology, he pointed out how this development has facilitated the rapid production of portable electronic devices like laptops, smartphones, and electric vehicles. He noted, “We exist in an era of electronic mobility, where lithium-powered batteries offer higher specific energy, greater energy density, improved energy efficiency, longer cycle life, and extended calendar life.”

He stressed that the global demand for new battery technologies has sparked renewed interest in Africa’s critical minerals. “Africa holds 92% of global platinum reserves, 56% of cobalt, 54% of manganese, and 36% of chromium—essential components in the production of new batteries. In essence, the world needs Africa now more than ever,” he remarked.

Tinubu reiterated Africa’s commitment to overcoming the historical exploitation of its resources, advocating for the localization of the entire mineral value chain on the continent. He pledged his administration’s dedication to enhancing local value in Nigeria’s mineral resources as part of the vision established by the Africa Minerals Strategy Group, led by Nigeria’s Minister of Solid Minerals Development, Dele Alake.

The President highlighted Nigeria’s large market of over 226 million people, noting that the success of the nation’s $10 billion telecom market demonstrates its growth potential. He expressed optimism about the manufacturing of lithium batteries, concentrates, and components, emphasizing the importance of domesticating the value chain from extraction to production within Nigeria.

He affirmed that the AMSG aims to transform Africa from being merely a supplier of raw materials to a significant player in the global mining industry.

Dele Alake, the Minister of Solid Minerals and Chairman of the AMSG, also addressed the gathering, outlining the group’s vision for revitalizing Africa’s mining industry through local value addition and industrialization. He criticized the traditional model of mineral extraction in Africa, which exports raw materials for processing overseas, resulting in lost economic opportunities and job creation on the continent.

Alake stressed that this trade pattern leaves African nations vulnerable, compelling them to import finished goods at inflated prices. He advocated for a shift towards local value addition—processing raw minerals into finished products within Africa—as a means to enhance the continent’s economic independence and significantly contribute to its GDP. He acknowledged the significant developmental challenges faced by the continent but affirmed that Africa’s natural wealth could pave the way to prosperity if leveraged appropriately.

Mr. Moses Engadu, General Secretary of AMSG, called for a renewed vision and political commitment among African leaders to ensure that value addition becomes a fundamental condition for granting mineral licenses to investors. The roundtable event featured representatives from investors, development partners, multilateral institutions, and major financial organizations.