Sub-Saharan Africa (SSA) is losing forests faster than almost any other region in the world, and the economic fallout is becoming harder to ignore.
The UN Food and Agriculture Organisation (FAO) estimates that the continent loses nearly 4 million hectares of forest every year, almost twice the global average. Agriculture, charcoal production, and logging are the biggest culprits.
Forests are more than an environmental buffer; they underpin livelihoods and economies. According to the African Development Bank, more than 60 percent of Africans depend directly on forests and woodlands for fuel, food, medicine, or income. The loss of these resources directly impacts jobs, food security, and rural resilience.
The economic squeeze
Deforestation erodes SSA economies in three major ways. First, through agriculture: forest loss strips soil of nutrients and accelerates erosion, reducing crop yields and forcing farmers to clear more land just to maintain output. This cycle is particularly acute in Zambia, where households rely heavily on charcoal for cooking and heating.
Second, energy security: in much of the region, where grid power remains unreliable, charcoal and firewood remain dominant cooking fuels. According to the World Bank, about 81 percent of households in SSA still rely on biomass energy, trapping households in chronic energy poverty and limiting productivity.
Third, trade: global markets increasingly attach environmental standards to imports. The EU, for instance, has introduced deforestation-linked rules that could restrict African exports of cocoa, timber, and palm oil unless supply chains are certified as sustainable. Advocacy group Global Witness has warned that countries with weak forest governance risk “losing billions in trade revenues.”
Nigeria at the frontline
Nowhere is the crisis more visible than in Nigeria. Once covered by lush forests, the country has lost over 90 percent of its original forest cover, according to Vice President Kashim Shettima. At the 2025 Forest Economy Summit, he called it “not just an environmental crisis but an economic emergency.”
Every year, Nigeria loses 350,000 to 400,000 hectares of forest, equivalent to the size of Lagos State, mainly due to logging, farming, and fuelwood harvesting. Forestry contributes about 2 percent of GDP, according to World Bank–FAO data, but its true economic weight is far larger, providing energy, food, and income for millions.
Some policymakers and private players see opportunity in a crisis. Sadiq Sani, ceo of Netzence Sustainability Limited, says technology could unlock more than $2 billion in potential earnings from Nigeria’s forests through carbon credits and greenhouse gas monitoring.
“Netzence is providing the technology needed to unlock the potential of our $2 billion forestry economy,” he explained, pointing to proprietary models that calculate emissions and translate them into carbon credit values.
Government officials echo this ambition. Nurudeen Zauro, Technical Adviser to the President on Economic and Financial Inclusion, said PRICIFI’s task is to “identify untapped opportunities in areas that have been silent and unlock them so we can achieve this goal.”
George Kelly, Executive Secretary of the Border Communities Development Agency, highlighted Nigeria’s 10.6 million hectares of forest cover, including natural, planted, and reserved forests, that could be monetised through carbon financing.
The costs are stark
Charcoal and firewood supply ~80 percent of household energy, particularly in rural areas with limited electricity. A recent survey cited by Business Times found that 70 percent of rural households rely on firewood, exposing families to indoor pollution and health risks while accelerating forest loss.
The food and climate connection
Deforestation also threatens food security. As forests vanish, farmland becomes fragile, rainfall patterns shift, and water sources dry up.
The International Food Policy Research Institute (IFPRI) warns that climate-linked shocks could reduce West Africa’s staple crop yields by 20 percent–30 percent by 2050. In northern Nigeria, desertification is already shortening growing seasons in Sokoto and Katsina, driving migration and deepening rural poverty.
Can Nigeria turn the tide?
Tree-planting campaigns and a revised National Forest Policy signal attempts to reverse the trend. The government estimates a “forest economy” worth over $2 billion could be unlocked through reforestation, sustainable timber trade, and eco-tourism.
Yet scepticism lingers. A 2024 Chatham House report argued that Nigeria’s forest policies are strong on paper but weak in practice, with illegal logging thriving under poor enforcement. Without addressing corruption and energy poverty, experts warn, conservation pledges risk being little more than rhetoric.
Lessons and warnings
The wider regional pattern is clear. Zambia loses about 300,000 hectares annually due to charcoal dependence; the DRC’s rainforest is shrinking under subsistence farming. Gabon, by contrast, shows that strict governance can preserve forests while generating revenues from certified timber exports.
For Nigeria, the choice is stark. As Vice President Shettima put it: “We cannot underestimate the importance of our forests. They are treasure troves for biodiversity, trade, climate resilience, and finance. Yet this vast potential remains largely untapped.”
The message extends beyond Nigeria. For Africa as a whole, disappearing forests are no longer just an ecological tragedy, they are an economic reckoning already underway.
