The Foreign Secretary, James Cleverly has revealed that the United Kingdom’s Manufacturing Africa programme is supporting 22 manufacturing deals, worth $664 million, spanning electric vehicles, solar energy waste recycling and much more.
Cleverly who disclosed this on Tuesday in his speech in Lagos, setting out a positive vision for the UK’s partnerships with Africa, hailed Nigerian President, Bola Ahmed Tinubu’s economic reforms, including the removal of fuel subsidies and the unifying of exchange rates.
He said, “African countries need capital to drive investment, development and jobs. That’s why it’s imperative that International Financial Institutions accommodate our shared aspiration for a bigger, more responsive and fairer system.
“If multilateral development banks implement the recommendations of the G20’s independent Capital Adequacy Framework review, they will unlock hundreds of billions of dollars in development finance.
The Secretary noted that the UK is taking leading role on reform of International Financial Institutions. “And we’re investing in the World Bank and the African Development Bank – which of course is majority African owned – so that they can finance infrastructure and support trade right across Africa.
“We support the aims of the Bridgetown Agenda. And I’m working with our partners to ensure that our aspiration is converted into action. It’s why we support the ‘Room to Run’ guarantee to African Development Bank, which is expected to unlock up to $2 billion worth of new financing for projects across the continent.
“But the public sector alone cannot provide all the investment that is needed. Private capital is essential. That’s why the UK government is promoting private sector investment in Nigeria, and across the continent. And we will do our utmost to galvanise even more interest”.
He pressed further that the UK will also continue to champion further multilateral reforms that will benefit Africa. “Like the better and faster implementation of international tax rules that will stop revenues leaking from your national treasury.
“Or international rules for the governance of Artificial Intelligence and transformational technologies. Reform of international rules is not in the UK’s gift alone – no one country can bring about multilateral reform. But change is possible when we work in partnership on reforms that benefit not just African countries or the UK – but the whole world.
“A sustainable international order is in all our interests. It will make us safer. And it will drive future prosperity. Higher growth will bring more and better jobs as well as the revenue you need to update infrastructure and provide public services for all Nigerians”, he said.
UK Foreign Secretary praised Nigeria, saying the country’s track record on tech is exceptional. “Nigeria received 44% of international tech investment into Africa in 2021. And the UK is proud to be playing even small part in its success. Our Digital Access Programme promotes connectivity and digital skills in Kenya, Nigeria and South Africa”.
Cleverly announced a new £10 million partnership with Infacredit, which shares the risk in financing new infrastructure projects, and by doing so, leverages much more domestic private capital. “That’s a great way of financing economic development, and we’re working to set up similar facilities in other African countries.
“But a real uplift in growth and prosperity cannot come without an increase in international trade. That’s why our Developing Countries Trading Scheme (DCTS) will extend tariff cuts to hundreds of more products exported from developing countries in Africa and elsewhere.
“This means that 98% of goods imported from Africa into the UK will enter duty free and new rules of origin will help the least developed economies integrate into global supply chains.
“Increased trade stimulates partnerships. And our collective power today – the power of African countries and the UK together – is founded on the quality and number of our partnerships. Only together can we adequately address shared challenges. Only together can we harness opportunities, and only together can we improve living standards”, he said.
Cleverly reiterated that the UK will continue to focus on strengthening African countries’ resilience against threats, as well as addressing the drivers of conflict and instability. “Strategic security and defence partnerships like those we have with Nigeria, Ghana and Kenya – are a powerful means of achieving this goal.
“We support African countries in their ongoing fight to counter-terrorism. African leadership, with support from the UK and others, has eliminated piracy off the coast of Somalia – and dramatically curtailed piracy off the Gulf of Guinea. As a result, the whole world has benefited.
“But security and prosperity rely on scientific innovation. The UK government recognises the need for investment in science, technology. That’s why we plan to expand our science, technology partnerships. Building on the success of our Digital Access Programme, which promotes connectivity and digital skills in Kenya, Nigeria and South Africa.
“And we will work with our partners to commercialise scientific knowledge. Public-private partnerships and an open approach to science make the spread of innovation easier and the work of pioneers more accessible.
“Our spirit of partnership provides opportunities to collaborate and accelerates progress towards our shared objectives. I say again: when you benefit, we benefit. We are proud that there are already many strong examples of partnerships with the UK across this continent”, he said.
