By Moses Akaigwe
The China Africa Business Council (CABC) has signed a Memorandum of Understanding (MoU) with the Lagos Chamber of Commerce and Industry in Lagos.
Vice Chairman of CABC Chief Diana Chen said the partnership would position members of the chamber as primary benefactors of trade and investment alliance offered by the Forum of China Africa Cooperation (FOCAC) and African Continental Free Trade Area (AfCFTA} including in the auto industry and other sectors.
Chief Chen herself is the power behind the success story of the GAC brand of cars which is made available in the Nigerian market by her company, CIG Motors.
The MoU, she explained, would drive the economic advancement and Industrialisation of the nation through deliberate strategic partnerships and collaboration fostered by this agreement.
According to her, CABC is committed to helping Chinese enterprises contribute, effectively to Africa’s development.
She said: “With over 2000 members across China and Africa, creating more than 1.5 million jobs with a Volume of $9.05 billion in investments, it is dedicated to the Economic Development of Africa which is led by the principle of “Respecting Culture and Combining Generosity with Profit.
“China will encourage its businesses to invest no less than $10 billion in Africa in the next three years, and will establish a platform for China-Africa private investment promotion. China will undertake 10 industrialisation and employment promotion projects for Africa, provide credit facilities of $10 billion to African financial institutions, support the development of African SMEs on a priority basis, and establish a China-Africa cross-border RMB centre.”
LCCI President Dr Michael Olawale-Cole said the MoU would further improve bilateral and diplomatic relations between our two countries.
Describing the partnership as historic and significant, Olawale-Cole it would also strengthen International Trade Relations.
This MoU, he added, would unlock investment opportunities for both economies and will strengthen relationships between our two institutions.
According to him, Nigeria is Africa’s largest economy with a GDP of $450 billion and a population of 200 million.
Olawale-Cole said: “According to the National Bureau of Statistics, the trade volume between both countries grew remarkably to $16 billion in 2019 from $7.4 billion in 2018. Bilateral relations between both nations have also expanded tremendously on growing bilateral trade and strategic cooperation till date. The Chinese have shown interest in the Nigerian market, with a presence across various sectors of the economy including financial technology, construction, retail and e-commerce, and manufacturing…There are vast potentials in both countries that can be explored by Nigerian and Chinese investors.
“According to the China Chamber of Commerce in Nigeria, about 200,000 Nigerians are employed by over 150 Chinese companies based in Nigeria. Even till date, China remains a major financier of several developmental projects in Nigeria.”