President Bola Tinubu has issued a strategic call to West African nations to shift their economic model from exporting raw minerals to prioritizing value addition through local processing, innovation, and manufacturing. This appeal is aimed at breaking the region’s cycle of dependency on unrefined commodity exports and unlocking its full economic potential.
Despite being abundantly rich in natural resources, West African countries continue to face stagnation due to limited value extraction from their minerals. For decades, the bulk of economic gains in the extractive sector has bypassed local populations, flowing instead to foreign corporations. As a result, the region has struggled to translate its resource wealth into broad-based development, job creation, and poverty alleviation.
President Tinubu's message marks a decisive pivot towards an economic strategy that champions local value chains. By processing minerals domestically, countries in the region can increase their share of the global value chain, stimulate job creation, and drive sustainable growth. This transition would also foster economic resilience by reducing reliance on volatile global commodity markets.
The impact of limited local processing is stark. According to data from the African Development Bank, up to 80% of the value of African minerals is lost due to insufficient downstream processing. By investing in refining and manufacturing infrastructure, West Africa can retain more economic value, improve fiscal revenues, and encourage technology transfer.
This value-driven approach aligns with major continental initiatives such as the African Union’s Agenda 2063 and ECOWAS’s industrialization blueprint, both of which prioritize economic diversification, regional integration, and local entrepreneurship. Focusing on innovation and industrial capacity development will further insulate the region from global market shocks and position it competitively on the world stage.
Encouraging progress is already underway. Countries like Ghana, Senegal, and Côte d'Ivoire are beginning to expand their manufacturing bases in sectors such as agro-processing, textiles, and pharmaceuticals. Regional efforts are also being bolstered by frameworks like the African Continental Free Trade Area (AfCFTA), which facilitates cross-border trade and investment in value-added goods and services.
Realizing the goals of President Tinubu’s proposal will require collaborative action across the region. Governments must work together to share knowledge, invest in industrial infrastructure, and support innovation ecosystems that empower local entrepreneurs and skilled labor.
By embracing this transformation, West Africa stands at the threshold of an economic renaissance—one defined by inclusive growth, technological advancement, and reduced external dependency.