World
Donor Conference Shows Sudan’s Quest for Economic Recovery
By Kester Kenn Klomegah
During several years of Omar al-Bashir administration, Sudan’s economy was largely shattered due to political tyranny, deep-seated corruption and poor policies.
According to the Corruptions Perception Index, Sudan is one of the most corrupt nations in the world. Sudan has a population of 43 million (2018 estimates), nearly 80% live far below the poverty line despite its boast of natural resources including huge oil deposits.
While historically agriculture remains the main source of income and employment hiring of over 80 percent of Sudanese, it makes up a third of the economic sector. But most farms remain rain-fed and susceptible to drought.
Instability, adverse weather and agricultural prices consistently ensure that majority (farmers) among the population will remain impoverished for years.
Last year, the world watched in admiration as hundreds of thousands of Sudanese men and women took to the streets to demand a change in one of the world’s most brutal dictatorships.
As months of protests led to the fall of al-Bashir’s regime in April 2019 and the rise of the first civilian government in over 30 years. As a result, the Sudanese people showed the world that peaceful change was possible.
With the new administration that came after al-Bashir, Sudan still faces formidable economic problems, and its growth still a rise from a very low level of per capita output. In practical terms, it is desperate for foreign support and one surest way was to get to a donor’s conference held in Berlin, Germany.
According to experts, Sudan’s economic outlook has not been encouraging: the country’s vast resources were systematically plundered by the old regime. The current global crisis puts the achievements of Sudan’s peaceful revolution in jeopardy. The donor conference was to provide a lifeline to the ongoing transition, alongside Sudan’s own efforts. It is worth to say that increased international political and financial assistance remain paramount.
That was why, on June 25, the United Nations, the European Union, Germany and Sudan convened an international conference, via video conference.
The aim was the following: the Sudanese Government commits itself to carry the 2019 revolution forward. In return, almost 50 countries and international organizations are offering Sudan a partnership to support the country throughout the political transition up to the elections in 2022.
The goal was to also raise enough funds to kick-start social protection programs by the World Bank and the Sudanese Government that could help Sudanese families in need. The partners supported the International Monetary Fund to open up Sudan’s road towards debt relief.
Some 50 countries and international organizations pledged more than $1.8 billion, while the World Bank Group offered a grant of $400 million.
“This conference opened a new chapter in the cooperation between Sudan and the international community to rebuild the country,” German Foreign Minister Heiko Maas said at the video conference co-organized by Germany with Sudan, the European Union and the United Nations.
Berlin promised to make investments in in areas such as water, food security and education. Germany has urged the Sudanese government to invest in human rights. Germany said that it would contribute €150 million ($168 million) in aid to the sub-Saharan nation of Sudan.
The decision comes as part of a one-day donor teleconference hosted by Berlin and attended by several western governments, the UN Secretary-General, international financial institutions and wealthy Gulf oil producers.
German Federal Development Minister Gerd Müller praised the “enormous efforts” of the civilian transitional government “for peace, democracy and reforms.” This positive development had encouraged Germany to resume a development cooperation with Sudan, Müller added.
Germany intends to spend €118 million to support Sudan in areas such as water, food security and education, while a further €32 million allocated to humanitarian aid and stabilization.
“The most important thing now is to strengthen the economy, especially agriculture, and to support the poorest people in the country. For the country has potential: it could become Africa’s breadbasket,” Müller said, noting that Sudan’s agricultural land mass is as large as that of France.
The German Government expects the Sudanese transitional government to continue on a path of reform. Müller urged the government to ensure religious freedom and to work to grant full equality for women.
Germany’s contribution was part of a total of €1.325 billion pledged by Western and Arab countries. The EU said it will contribute €312 million, the United States €318 million, and France €100 million for various projects, among them cash transfers to families living in poverty, with the help of the World Bank, officials said at the online event. The United Kingdom pledged €166 million and the United Arab Emirates €268 million.
“The people of Sudan have shown extraordinary courage & determination in their quest for change & peace,” UN Chief Antonio Guterres said in a tweet. “But unless the international community mobilizes support quickly, Sudan’s democratic transition could be short-lived, with profound consequences in the country & beyond,” he added, underscoring the financial help the new government needs to stay afloat.
Sudan’s Prime Minister Abdalla Hamdok called the conference “unprecedented” and said it laid a “solid foundation for us moving forward” at least in the subsequent years.
Sudan’s new transitional government has sought to repair the country’s international standing, but it still faces daunting economic challenges more than a year after Bashir’s ouster. The International Monetary Fund says Sudan’s economy “contracted by 2.5 percent in 2019 and is projected to shrink by eight percent in 2020” because of the pandemic. Other challenges include galloping inflation, massive public debt and acute foreign currency shortages.
In addition to saving the economy, the conference direct help, also envisaged to enhance Sudan’s efforts to tackle COVID-19. The pledges included $356 million from the United States, which voiced optimism for a resolution directed at Sudan be delisted as a state sponsor of terrorism. Washington first blacklisted Sudan in 1993.
“This conference marks the start of a process, which will be followed by subsequent engagement by the international community to take stock of the progress made by Sudan in implementing reforms and to allow its partners to adapt their support accordingly,” the conference’s concluding statement said.
The participating countries agreed to hold the next Partnership Conference in early 2021, in close cooperation with the Government of the Sudan and the Friends of Sudan group. In addition, the Government of the Sudan and delegations decided to establish a follow-up mechanism (Compact) lead by the Transitional Government of the Sudan as an inclusive process in the Sudan.
In reality, the world will be watching to see noticeable changes in Sudan. On 30 June 1989, when Omar al-Bashir took power, Sudan had the same GDP as South Korea. For a period of 30 years, the country seems to remain at same level or even worse before independence.
Now Prime Minister Abdalla Hamdok has to show the dynamics of an exemplary leadership, accountability and transparency. These has to reflect on the future development of Sudan and for the Sudanese.
The truth is that how very complex and multifaceted this may be requires the art-of-state management and pursuit of good policies that can address huge economic reconstruction and sustainable development issues.
After this donor conference, Sudan has to move speedily away from the phase of stagflation, a term experts used describing the economy.
In the Horn of Africa, Sudan has also had a troubled relationship with its neighbours. South and South Sudan have signed an agreement sharing the oil deposits, but both still have conflicts. Bordered in the north by Egypt and southeast by Ethiopia, the country has to adopt a more refined attitude to its neighbouring states in the East African Community (EAC).
By Dipo Olowookere
Iranian Supreme Leader, Mr Ayatollah Ali Khamenei, has died after coordinated airstrikes carried out by the United States and Israel on Tehran on Saturday morning.
His death was confirmed on Sunday morning by Iranian state media, which also disclosed that his daughter and grandchild were among those killed in the bombardment, which destroyed his compound.
Mr Khamenei was killed during a meeting with top leaders of the Middle East country yesterday, including the Defence Minister Amir Nasirzadeh and Revolutionary Guard commander Mohammad Pakpour, who reportedly died too.
His elimination has sparked mixed reactions, with some Iranians on the streets celebrating his demise, and others condemning the joint air strikes.
The President of the United States, Mr Donald Trump, described the late Iranian leader as “one of the most evil people in history,” expressing satisfaction at the action, which he said was “successful,” as it represented justice for both Iranians and Americans.
Meanwhile, Tehran has vowed to further respond to the attacks after initially firing missiles at six neighbours, including Qatar, Saudi Arabia, Kuwait, UAE, Bahrain, and Jordan.
Flight operations in the region have been disrupted because of the retaliatory action of Iran over the weekend, though most of the missiles were intercepted.
By Adedapo Adesanya
The African Development Bank (AfDB) and the African Union have renewed their push for visa-free travel to accelerate Africa’s economic transformation.
The call was reinforced at a High-Level Symposium on Advancing a Visa-Free Africa for Economic Prosperity, where African policymakers, business leaders, and development institutions examined the need for visa-free travel across the continent.
The consensus described the free movement of people as essential to unlocking Africa’s economic transformation under the African Continental Free Trade Area (AfCFTA).
The symposium was co-convened by AfDB and the African Union Commission on the margins of the 39th African Union Summit of Heads of State and Government in Addis Ababa.
The participants framed mobility as the missing link in Africa’s integration agenda, arguing that while tariffs are falling under AfCFTA, restrictive visa regimes continue to limit trade in services, investment flows, tourism, and labour mobility.
On his part, Mr Alex Mubiru, Director General for Eastern Africa at the African Development Bank Group, said that visa-free travel, interoperable digital systems, and integrated markets are practical enablers of enterprise, innovation, and regional value chains to translate policy ambitions into economic activity.
“The evidence is clear. The economics support openness. The human story demands it,” he told participants, urging countries to move from incremental reforms to “transformative change.”
Ms Amma A. Twum-Amoah, Commissioner for Health, Humanitarian Affairs and Social Development at the African Union Commission, called for faster implementation of existing continental frameworks.
She described visa openness as a strategic lever for deepening regional markets and enhancing collective responses to economic and humanitarian crises.
Former AU Commission Chairperson, Ms Nkosazana Dlamini-Zuma, reiterated that free movement is central to the African Union’s long-term development blueprint, Agenda 2063.
“If we accept that we are Africans, then we must be able to move freely across our continent,” she said, urging member states to operationalise initiatives such as the African Passport and the Free Movement of Persons Protocol.
Ghana’s Trade and Industry Minister, Mrs Elizabeth Ofosu-Adjare, shared her country’s experience as an early adopter of open visa policies for African travellers, citing increased business travel, tourism, and investor interest as early dividends of greater openness.
The symposium also reviewed findings from the latest Africa Visa Openness Index, which shows that more than half of intra-African travel still requires visas before departure – seen by participants as a significant drag on intra-continental commerce.
Mr Mesfin Bekele, Chief Executive Officer of Ethiopian Airlines, called for full implementation of the Single African Air Transport Market (SAATM), saying aviation connectivity and visa liberalisation must advance together to enable seamless travel.
Regional representatives, including Mr Elias Magosi, Executive Secretary of the Southern Africa Development Community, emphasised the importance of building trust through border management and digital information-sharing systems.
Ms Gabby Otchere Darko, Executive Chairman of the Africa Prosperity Network, urged governments to support the “Make Africa Borderless Now” campaign, while tourism campaigner Ras Mubarak called for more ratifications of the AU Free Movement of Persons protocol.
Participants concluded that achieving a visa-free Africa will require aligning migration policies, digital identity systems, and border infrastructure, alongside sustained political commitment.
By Kestér Kenn Klomegâh
In this interview, Uche Uzoigwe, Secretary-General of NIDOA-Brazil, discusses the economic potential in South America, particularly Brazil, and investment incentives for Brazilian corporate partners for the Federal Republic of Nigeria (FRN). Follow the discussion here:
How would you assess the economic potential in the South American region, particularly Brazil, for the Federal Republic of Nigeria? What investment incentives does Nigeria have for potential corporate partners from Brazil?
As the Secretary of NIDOA Brazil, my response to the questions regarding the economic potentials in South America, particularly Brazil, and investment incentives for Brazilian corporate partners would be as follows:
Brazil, as the largest economy in South America, presents significant opportunities for the Federal Republic of Nigeria. The country’s diverse economy is characterised by key sectors such as agriculture, mining, energy, and technology. Here are some factors to consider:
- Natural Resources: Brazil is rich in natural resources like iron ore, soybeans, and biofuels, which can be beneficial to Nigeria in terms of trade and resource exchange.
- Growing Agricultural Sector: With a well-established agricultural sector, Brazil offers potential collaboration in agri-tech and food security initiatives, which align with Nigeria’s goals for agricultural development.
- Market Size: Brazil boasts a large consumer market with a growing middle class. This represents opportunities for Nigerian businesses looking to export goods and services to new markets.
- Investment in Infrastructure: Brazil has made significant investments in infrastructure, which could create opportunities for Nigerian firms in construction, engineering, and technology sectors.
- Cultural and Economic Ties: There are historical and cultural ties between Nigeria and Brazil, especially considering the African diaspora in Brazil. This can facilitate easier business partnerships and collaborations.
In terms of investment incentives for potential corporate partners from Brazil, Nigeria offers several attractive incentives for Brazilian corporate partners, including:
- Tax Incentives: Various tax holidays and concessions are available under the Nigerian government’s investment promotion laws, particularly in key sectors like agriculture, manufacturing, and technology.
- Repatriation of Profits: Brazil-based companies investing in Nigeria can repatriate profits without restrictions, thus enhancing their financial viability.
- Access to the African Market: Investment in Nigeria allows Brazilian companies to access the broader African market, benefiting from Nigeria’s membership in regional trade agreements such as ECOWAS.
- Free Trade Zones: Nigeria has established free trade zones that offer companies the chance to operate with reduced tariffs and fewer regulatory burdens.
- Support for Innovation: The Nigerian government encourages innovation and technology transfer, making it attractive for Brazilian firms in the tech sector to collaborate, particularly in fintech and agriculture technology.
- Collaborative Ventures: Opportunities exist for joint ventures with local firms, leveraging local knowledge and networks to navigate the business landscape effectively.
In conclusion, fostering a collaborative relationship between Nigeria and Brazil can unlock numerous economic opportunities, leading to mutual growth and development in various sectors. We welcome potential Brazilian investors to explore these opportunities and contribute to our shared economic goals.
In terms of this economic cooperation and trade, what would you say are the current practical achievements, with supporting strategies and systemic engagement from NIDOA?
As the Secretary of NIDOA Brazil, I would highlight the current practical achievements in economic cooperation and trade between Nigeria and Brazil, alongside the supporting strategies and systemic engagement from NIDOA.
Here are some key points:
Current Practical Achievements
- Increased Bilateral Trade: There has been a notable increase in bilateral trade volume between Nigeria and Brazil, particularly in sectors such as agriculture, textiles, and technology. Recent trade agreements and discussions have facilitated smoother trade relations.
- Joint Ventures and Partnerships: Successful joint ventures have been established between Brazilian and Nigerian companies, particularly in agriculture (e.g., collaboration in soybean production and agricultural technology) and energy (renewables, oil, and gas), demonstrating commitment to mutual development.
- Investment in Infrastructure Development: Brazilian construction firms have been involved in key infrastructure projects in Nigeria, contributing to building roads, bridges, and facilities that enhance connectivity and economic activity.
- Cultural and Educational Exchange Programs: Programs facilitating educational exchange and cultural cooperation have led to strengthened ties. Brazilian universities have partnered with Nigerian institutions to promote knowledge transfer in various fields, including science, technology, and arts.
Supporting Strategies
- Strategic Trade Dialogue: NIDOA has initiated regular dialogues between trade ministries of both nations to discuss trade barriers, potential markets, and cooperative opportunities, ensuring both countries are aligned in their economic goals.
- Investment Promotion Initiatives: Targeted initiatives have been established to promote Brazil as an investment destination for Nigerian businesses and vice versa. This includes showcasing success stories at international trade fairs and business forums.
- Capacity Building and Technical Assistance: NIDOA has offered capacity-building programs focused on enhancing Nigeria’s capabilities in agriculture and technology, leveraging Brazil’s expertise and sustainable practices.
- Policy Advocacy: Continuous advocacy for favourable trade policies has been a key focus for NIDOA, working to reduce tariffs and promote economic reforms that facilitate investment and trade flows.
Systemic Engagement
- Public-Private Partnerships (PPPs): Engaging the private sector through PPPs has been essential in mobilising resources for development projects. NIDOA has actively facilitated partnerships that leverage both public and private investments.
- Trade Missions and Business Delegations: Organised trade missions to Brazil for Nigerian businesses and vice versa, allowing for direct engagement with potential partners, fostering trust and opening new channels for trade.
- Monitoring and Evaluation: NIDOA implements a rigorous monitoring and evaluation framework to assess the impact of various initiatives and make necessary adjustments to strategies, ensuring effectiveness in achieving economic cooperation goals.
Through these practical achievements, supporting strategies, and systemic engagement, NIDOA continues to play a pivotal role in enhancing economic cooperation and trade between Nigeria and Brazil. By fostering collaboration and leveraging shared resources, we aim to create a sustainable and mutually beneficial economic environment that promotes growth for both nations.
Do you think the changing geopolitical situation poses a number of challenges to connecting businesses in the region with Nigeria, and how do you overcome them in the activities of NIDOA?
The changing geopolitical situation indeed poses several challenges for connecting businesses in the South American region, particularly Brazil, with Nigeria. These challenges include trade tensions, shifting alliances, currency fluctuations, and varying regulatory environments. Below, I will outline some of the specific challenges and how NIDOA works to overcome them:
Current Challenges
- No Direct Flights: This challenge is obviously explicit. Once direct flights between Brazil and Nigeria become active, and hopefully this year, a much better understanding and engagement will follow suit.
- Trade Restrictions and Tariffs: Increasing trade protectionism in various regions can lead to higher tariffs and trade barriers that hinder the movement of goods between Brazil and Nigeria.
- Currency Volatility: Fluctuations in the value of currencies can complicate trade agreements, pricing strategies, and overall financial planning for businesses operating in both Brazil and Nigeria.
- Different regulatory frameworks and compliance requirements in both countries can create challenges for businesses aiming to navigate these systems efficiently.
- Supply Chain Disruptions: Changes in global supply chains due to geopolitical factors may disrupt established networks, impacting businesses relying on imports and exports between the two nations.
Overcoming Challenges through NIDOA.
NIDOA actively engages in discussions with both the Brazilian and Nigerian governments to advocate for favourable trade policies and agreements that reduce tariffs and improve trade conditions. This year in October, NIDOA BRAZIL holds its TRADE FAIR in São Paulo, Brazil.
What are the popular sentiments among the Nigerians in the South American diaspora? As the Secretary-General of the NIDOA, what are your suggestions relating to assimilation and integration, and of course, future perspectives for the Nigerian diaspora?
As the Secretary-General of NIDOA, I recognise the importance of understanding the sentiments among Nigerians in the South American diaspora, particularly in Brazil.
Many Nigerians in the diaspora take pride in their cultural roots, celebrating their heritage through festivals, music, dance, and culinary traditions. This cultural expression fosters a sense of community and belonging.
While many individuals embrace their new environments, they often face challenges related to cultural differences, language barriers, and social integration, which can lead to feelings of isolation.
Many express optimism about opportunities in education, business, and cultural exchange, viewing their presence in South America as a chance to expand their horizons and contribute to economic activities both locally and back in Nigeria.
Sentiments regarding acceptance vary; while some Nigerians experience warmth and hospitality, others encounter prejudice or discrimination, which can impact their overall experience in the host country. NIDOA BRAZIL has encouraged the formation of community organisations that promote networking, cultural exchange, and social events to foster a sense of belonging and support among Nigerians in the diaspora. There are currently two forums with over a thousand Nigerian members.
Cultural Education and Awareness Programs: NIDOA BRAZIL organises cultural education programs that showcase Nigerian heritage to local communities, promoting mutual understanding and appreciation that can facilitate smoother integration.
Language and Skills Training: NIDOA BRAZIL provides language courses and skills training programs to help Nigerians, especially students in tertiary institutions, adapt to their new environment, enhancing communication and employability within the host country.
Engaging in Entrepreneurship: NIDOA BRAZIL supports the entrepreneurial spirit among Nigerians in the diaspora by facilitating access to resources, mentorship, and networks that can help them start businesses and create economic opportunities.
Through its AMBASSADOR’S CUP COMPETITION, NIDOA Brazil has engaged students of tertiary institutions in Brazil to promote business projects and initiatives that can be implemented in Nigeria.
NIDOA BRAZIL also pushes for increased tourism to Brazil since Brazil is set to become a global tourism leader in 2026, with a projected 10 million international visitors, driven by a post-pandemic rebound, enhanced air connectivity, and targeted marketing strategies.
Brazil’s tourism sector is poised for a remarkable milestone in 2026, as the country expects to welcome over 10 million international visitors—surpassing the previous record of 9.3 million in 2025. This expected surge represents an ambitious leap, nearly doubling the country’s foreign-arrival numbers within just four years, a feat driven by a combination of pent-up global demand, strategic air connectivity improvements, and a highly targeted marketing campaign.
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