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UN Report: 2024 Could Errand Protracted Period of Low Growth
UN Report: 2024 Could Errand Protracted Period of Low Growth
By: Michael Mike
A United Nations flagship economic report has raised an alarm that protracted period of low growth looms large, and could undermine progress on sustainable development.
According to the report released on Friday, weakening global trade, high borrowing costs, elevated public debt, persistently low investment, and mounting geopolitical tensions put global growth at risk.
The global economic growth is projected to slow from an estimated 2.7 per cent in 2023 to 2.4 per cent in 2024, trending below the pre-pandemic growth rate of 3.0 per cent, according to the United Nations World Economic Situation and Prospects (WESP) 2024, launched on Friday.
This latest forecast comes on the heels of global economic performance exceeding expectations in 2023. However, last year’s stronger-than-expected GDP growth masked short-term risks and structural vulnerabilities, according to the report.
The UN’s flagship economic report presents a sombre economic outlook for the near term. Persistently high interest rates, further escalation of conflicts, sluggish international trade, and increasing climate disasters, pose significant challenges to global growth.
The report stated that the prospects of a prolonged period of tighter credit conditions and higher borrowing costs present strong headwinds for a world economy saddled with debt, while in need of more investments to resuscitate growth, fight climate change and accelerate progress towards the Sustainable Development Goals (SDGs).
Reacting to the report, the United Nations Secretary- General, António Guterres, said: “2024 must be the year when we break out of this quagmire. By unlocking big, bold investments we can drive sustainable development and climate action, and put the global economy on a stronger growth path for all,” adding that:
“We must build on the progress made in the past year towards an SDG Stimulus of at least $500 billion per year in affordable long-term financing for investments in sustainable development and climate action.”
The report stated that growth in several large, developed economies, especially the United States, is projected to decelerate in 2024 given high interest rates, slowing consumer spending and weaker labour markets. The short-term growth prospects for many developing countries – particularly in East Asia, Western Asia and Latin America and the Caribbean – are also deteriorating because of tighter financial conditions, shrinking fiscal space and sluggish external demand.
Low-income and vulnerable economies are facing increasing balance-of-payments pressures and debt sustainability risks. Economic prospects for small island developing States, in particular, will be constrained by heavy debt burdens, high interest rates and increasing climate-related vulnerabilities, which threaten to undermine, and in some cases, even reverse gains made on the SDGs, according to the report.
The report further showed that global inflation is projected to decline further, from an estimated 5.7 per cent in 2023 to 3.9 per cent in 2024. Price pressures are, however, still elevated in many countries and any further escalation of geopolitical conflicts risks renewed increases in inflation.
In about a quarter of all developing countries, annual inflation is projected to exceed 10 per cent in 2024, the report highlighted, showing that since January 2021, consumer prices in developing economies have increased by a cumulative 21.1 per cent, significantly eroding the economic gains made following the COVID-19 recovery. Amid supply-side disruptions, conflicts and extreme weather events, local food price inflation remained high in many developing economies, disproportionately affecting the poorest households.
“Persistently high inflation has further set back progress in poverty eradication, with especially severe impacts in the least developed countries,” said United Nations Under- Secretary-General for Economic and Social Affairs, Li Junhua,.
He said: “It is absolutely imperative that we strengthen global cooperation and the multilateral trading system, reform development finance, address debt challenges and scale up climate financing to help vulnerable countries accelerate towards a path of sustainable and inclusive growth.”
According to the report, the global labour markets have seen an uneven recovery from the pandemic crisis. In developed economies, labour markets have remained resilient despite a slowdown in growth. However, in many developing countries, particularly in Western Asia and Africa, key employment indicators, including unemployment rates, are yet to return to pre- pandemic levels. The global gender employment gap remains high, and gender pay gaps not only persist but have even widened in some occupations.
Stronger international cooperation needed to stimulate growth and promote green transition.
It advised that Governments will need to avoid self-defeating fiscal consolidations and expand fiscal support to stimulate growth at a time when global monetary conditions will remain tight, adding that Central banks around the world continue to face difficult trade-offs in striking a balance between inflation, growth and financial stability objectives. Developing country central banks, in particular, will need to deploy a broad range of macroeconomic and macroprudential policy tools to minimize the adverse spillover effects of monetary tightening in developed economies.
Furthermore, the report emphasized that robust and effective global cooperation initiatives are urgently needed to avoid debt crises and provide adequate financing to developing countries. Low-income countries and middle-income countries with vulnerable fiscal situations need debt relief and debt restructuring to avoid a protracted cycle of weak investment, slow growth and high debt-servicing burdens.
It added that in addition, global climate finance must be massively scaled up. Reducing – and eventually eliminating – fossil fuel subsidies, following through on international financing commitments, such as the $100 billion pledge to support developing countries, and promoting technology transfer are critical for strengthening climate action worldwide. It also underscores the ever- increasing role of industrial policies to bolster innovation and productive capacity, build resilience and accelerate a green transition.
UN Report: 2024 Could Errand Protracted Period of Low Growth
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Nigeria Reaffirms Commitment to Regional Security at MNJTF Meeting in Chad
Nigeria Reaffirms Commitment to Regional Security at MNJTF Meeting in Chad
By: Zagazola Makama
Nigeria has reaffirmed its commitment to regional cooperation and collective security efforts aimed at combating terrorism, insurgency and transnational crimes across the Lake Chad Basin.
Gen. Christopher Musa, Minister of Defense stated this during the Multinational Joint Task Force (MNJTF) meeting held on Tuesday in N’Djamena, Republic of Chad.
Musa, who attended the meeting alongside the joined defence ministers and senior military chiefs from Chad, Cameroon and Benin to review ongoing military operations and strengthen collaborative strategies for regional peace and stability.
According to the CDS, terrorism and insurgency within the Lake Chad region can only be effectively addressed through sustained regional cooperation, intelligence sharing and operational synergy among member states.
“Terrorism, insurgency and transnational threats can only be confronted through regional cooperation, intelligence fusion, synergy and sustained commitment among states,” he said.
He noted that the meeting provided an opportunity for participating countries to assess the progress of ongoing joint military operations under the MNJTF framework and identify areas requiring stronger collaboration.
Musa reaffirmed Nigeria’s resolve to continue supporting collective security initiatives aimed at restoring lasting peace and stability across the region.
“Nigeria remains steadfast in its commitment to collective security and the restoration of lasting peace across the Lake Chad Basin,” he said.
The CDS further stressed the importance of coordinated border security operations, intelligence-driven missions and enhanced military cooperation among member countries in addressing evolving security threats within the region.
The MNJTF, established by countries of the Lake Chad Basin Commission, coordinates multinational military operations against Boko Haram, ISWAP and other transnational criminal networks operating around the Lake Chad region.
Nigeria Reaffirms Commitment to Regional Security at MNJTF Meeting in Chad
News
India Moves to Reset Africa Relations After 10-Year Gap, Targets Deeper Nigeria Partnership
India Moves to Reset Africa Relations After 10-Year Gap, Targets Deeper Nigeria Partnership
By: Michael Mike
The Government of India is seeking to recalibrate its strategic engagement with Africa through the forthcoming 2026 India-Africa Forum Summit, with Nigeria positioned at the centre of New Delhi’s renewed diplomatic, economic and cultural outreach to the continent.
India’s High Commissioner to Nigeria, Abhishek Singh, disclosed this in Abuja while briefing journalists ahead of the fourth edition of the India-Africa Forum Summit scheduled to hold on May 31 in New Delhi.
The summit, which is returning after a decade-long break, is expected to bring together African heads of state, ministers, business leaders, investors, diplomats and cultural stakeholders as India seeks to strengthen its influence across Africa amid growing global competition for economic and strategic partnerships on the continent.
“This summit is not merely a diplomatic gathering. It is a platform to deepen political dialogue, security cooperation, trade relations, developmental partnerships, people-to-people exchanges and cultural collaboration between India and Africa,” Singh said.
The envoy noted that the last summit was held in 2015 and argued that both Africa and India had undergone major political and economic changes since then, making the upcoming meeting particularly significant.
According to him, the summit will begin with senior officials’ engagements on May 28, followed by a meeting of foreign ministers on May 29 before the main leaders’ summit on May 31.
He disclosed that President Bola Tinubu has been invited by Indian Prime Minister Narendra Modi to lead Nigeria’s delegation to the summit.
“We would be truly honoured to have the participation of His Excellency, the President,” Singh stated.
The High Commissioner described Nigeria as a strategic pillar in India’s Africa policy, citing the country’s democratic credentials, economic weight and regional influence.
“Nigeria is Africa’s largest democracy and one of the continent’s biggest economies. We see Nigeria as emblematic of India’s relationship with Africa,” he added.
Beyond diplomatic engagements, India is also using the summit to deepen commercial and cultural ties with African countries.
Singh revealed that business forums, cultural festivals, music and dance events, as well as Track Two diplomatic engagements involving academics and private sector players, would form part of the summit activities.
“One of the major components is economic dialogue. We have invited Nigerian businessmen, industrialists and chambers of commerce to participate and redefine how we engage economically,” he said.
India said bilateral trade between Nigeria and India currently stands at between eight and nine billion dollars annually, although both countries believe there is substantial room for expansion.
According to the envoy, discussions are ongoing on improving market access, reducing trade bottlenecks and unlocking new investment opportunities in sectors such as technology, manufacturing, digital infrastructure and education.
Singh also highlighted India’s growing interest in Nigeria’s creative and entertainment industries, particularly the rising global influence of Afrobeats music.
“The Afrobeats are becoming increasingly popular in India and names like Wizkid and Davido are not just famous in Nigeria but globally recognised and increasingly popular in India,” he said.
He further stressed India’s readiness to expand collaboration with Nigeria in information and communications technology, noting that India’s global strength in ICT and digital innovation presents major opportunities for partnership with African economies.
Analysts say the renewed India-Africa engagement reflects New Delhi’s broader geopolitical strategy to strengthen economic alliances, secure new markets and deepen influence in Africa amid intensifying competition from China, the United States, Europe and Gulf countries for strategic partnerships across the continent.
For Nigeria, the summit is expected to open fresh opportunities for trade expansion, investment inflows, educational cooperation, technology transfer and cultural exchange at a time the country is seeking stronger international economic partnerships to support growth and diversification.
India Moves to Reset Africa Relations After 10-Year Gap, Targets Deeper Nigeria Partnership
News
Navy supports Adamawa community with classrooms, toilets
Navy supports Adamawa community with classrooms, toilets
Vice Adm. Idi Abbas, the Chief of Naval Staff on Thursday inaugurated six blocks of renovated classrooms and newly constructed toilets at Central Primary School, Mayo-Belwa Local Government, Adamawa State.
Abbas, who was represented by the Rear Admiral Raheem Taofeek, said the project was a special intervention scheme and cooperate social responsibility of the Nigeria Navy to give back to the community.
According to him, the project is being executed by the Rear Adm. Abdulhamid Baba-Inna, the Navy Secretary in his hometown in line with the vision of President Bola Tinubu.
He encouraged the beneficiaries to use the facilities responsibly for maximum benefit.
In his remarks, Baba-Inna, said the project was to improve the learning environment to be conducive for the pupils and teachers.
“Ladies and Gentlemen, this project aligns squarely with the Nigeria Navy’s Civil-Military Cooperation and Relations framework.
“We recognise that our effectiveness is not measured solely by operational successes at sea or on the battlefield but also by the strength of our relationship with the people we serve.
“Projects such as this are deliberate efforts to build trust, foster goodwill and strengthen the bond between the military and civil society”, he said.
According to him, the classes and offices were provided with tables and chairs as well as the solar power light to enhance safety and security in the school.
Baba-Inna urged the pupils and teachers to take ownership of the project for maximum benefit.
In his remarks, Mr Adiyal Kurdah, Member I, Adamawa State Universal Basic Education Board (ADSUBEB), expressed gratitude to the Nigeria Navy for such a project.
He said the project would significantly improve enrollment, retention and quality education in the area.
Alhaji Ardo Bamanga, District Head of Mayo-Belwa, described the project as a good legacy that would help to shape the character of children to be responsible citizens in future.
The event featured presentation of learning materials to pupils, tree planting, cultural displays and awards presentations.
Navy supports Adamawa community with classrooms, toilets
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