Wamkele Mene, Secretary-General of the African Continental Free Trade Area (AfCFTA) and Abdulraheem Bayo Lawal, the Acting Governor of Oyo State, have declared that the AfCFTA will unlock prosperity, create employment and boost the economy of the State.
Mene maintained that Oyo State’s decision to integrate with the rest of Africa through the AfCFTA would result in the expansion of economic opportunities for the State. According to him, the initiative would boost the state’s trade volume, unleash economic prosperity on the youth, the informal sector, farmers, manufacturers and entrepreneurs in the State.
Speaking at the launch of the Oyo State Sub-national Implementation Strategy for the African Continental Free Trade Area (AfCFTA), held at the International Conference Centre, University of Ibadan, Mene noted that Oyo State had, by leveraging on the opportunities provided by AfCFTA, become a beacon of resilience, competitiveness, job creation and prosperity for all.
He added that the implementation strategy launched by the State would tackle the challenges of youth unemployment, drive economic growth, reduce poverty and improve the living standards of residents of the state, as the strategy has short, medium and long-term benefits for the state.
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The AfCFTA Secretary-General lauded Governor Seyi Makinde for his vision in recognising the importance of AfCFTA and in driving the launch of the implementation strategy.
He described the launch as a bold step, which attests to Governor Makinde’s visionary leadership and understanding that “AfCFTA is not a distant aspiration, but a present-day opportunity to unlock prosperity, create employment for young people, for players in the informal sector, for farmers, entrepreneurs and manufacturers in Oyo State.
“The AfCFTA Secretariat stands ready to work with you, to support you within our modest means to implement this strategy, to ensure that when we say Oyo State was the first state across the continent to have a sub-national strategy that that does not end as a slogan, that indeed it does become a reality.”
Lawal, the Chief host of the event and Acting Governor of Oyo State, who spoke on behalf of Governor Makinde, said the launch of the implementation strategy was a statement of intent and another definitive step to show that the State means business and is ready to be proactive and strategic in external trade policies.
He pointed out the medium, short and long-term benefits of the strategy, stating that it would help to create employment, prepare farmers, artisans and entrepreneurs in the state for export and reduce poverty exponentially.
According to him, the strategy will, among other things, improve the export readiness of the state’s Small and Medium Enterprises through training, support for compliance with standards on packaging and certifications and also signal to investors that Oyo State is ready and that it is a good place to invest.
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Governor Makinde added that the strategy would equally help to focus by identifying priority sectors such as agriculture, manufacturing, and the creative industry, while the state can also devote resources where they will bring the highest returns.
He said, “Our gathering here today is not just for show. As of now, no sub-national entity in Nigeria or Africa has formally adopted the domestic strategy to operationalise the AfCFTA Agreement. But today, Oyo State becomes the first of the 591 sub-nationals in Africa to create an AfCFTA Implementation Strategy.
“You may ask, why now? Some people who are used to politics without purpose may begin to look for ulterior motives. Some may even ask whose interest this will serve? Let me declare that we are acting now because we believe that while many states are waiting for a perfect alignment, we know that the sooner you prepare, the sooner you gain, and that is why Oyo State chose not to wait.
“Another question you may hear is this: Does the Constitution of the Federal Republic of Nigeria, 1999 (as amended) even allow a state government to do this? Isn’t Foreign Trade Policy the exclusive preserve of the Federal Government? The answer is, well, yes. The Constitution makes it clear that treaties and agreements are negotiated and ratified by the Federal Government. Tariffs, border protocols and Customs are federal matters, but, and this is important, states have significant powers when it comes to economic development.
“States control local infrastructure, promote investments, regulate activities within their borders and are responsible for agriculture, SMEs development, standards at the state level and so on.
“So, what we are doing today is what scholars call para-diplomacy; that is, engaging externally on economic matters without signing new treaties. When Nigeria ratifies an international agreement, that agreement becomes binding on the whole country. But, unless states align their policies and prepare their own systems, the benefits will pass them by.
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“By our action today, we are preparing Oyo State’s systems; that is, regulations, standards, infrastructure, and institutional readiness and investment incentives, such that when the federal provisions apply, we will be ready to benefit.
“Let me assure you that this strategy is legally sound, as it is about domestic alignment, readiness, reforms and business enablement. It is about competence and not competition with the Federal Government.
“Someone may ask, is this another jamboree, or what exactly are the benefits for Oyo State? Are there real measurable gains in the short term, in the medium term and in the long term? Let me tell you what this strategy will deliver. In the immediate term, this strategy will improve the export readiness of our Small and Medium Enterprises through training, support for compliance with standards on packaging and certifications.
“It is also a signal to investors to tell them that Oyo State is ready, and this is a good place to invest. It will also help to focus by identifying priority sectors such as agriculture, manufacturing, and the creative industry. We can devote resources where they will bring the highest returns.
