{"id":186019,"date":"2021-04-13T19:18:22","date_gmt":"2021-04-13T17:18:22","guid":{"rendered":"https:\/\/www.myza.co.za\/fifty-years-five-problems-and-how-nigeria-can-work-with-china-in-future\/"},"modified":"2021-04-13T19:18:22","modified_gmt":"2021-04-13T17:18:22","slug":"fifty-years-five-problems-and-how-nigeria-can-work-with-china-in-future","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/fifty-years-five-problems-and-how-nigeria-can-work-with-china-in-future\/","title":{"rendered":"Fifty years, five problems – and how Nigeria can work with China in future"},"content":{"rendered":"
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Since establishing diplomatic relations on 10 February 1971<\/a>, Nigeria\u2019s relationship with China has developed into one of the most important bilateral relationships maintained by either country. <\/p>\n

Apart from the exchange of high level visits, Chinese companies and money have found their way into Nigeria, Africa\u2019s largest economy. They are involved in a variety of major projects<\/a> in Nigeria. <\/p>\n

As at 31 March 2020, Chinese loans to Nigeria stood at US$3.121 billion<\/a>, which is 11.28% of the country\u2019s external debt of US$27.67 billion. The growing trade and presence of Chinese finance in Nigeria has also led to changing narratives about increased<\/a> migration on both sides.<\/p>\n

Over the years, Nigeria\u2019s relationship with China has broadened and deepened with China\u2019s growing power and interest in securing its regional interests (particularly within the South China Sea), and taking its place as a major global actor. Although Nigeria has largely stayed away from China\u2019s fairly assertive regional posture, it\u2019s affirmation of a commitment to the \u2018One-China Policy\u2019<\/a> has been important to China. Nigeria demonstrated this by the forced relocation<\/a> of Taiwan trade office from Abuja to Lagos in 2017.<\/p>\n

The governments of both Nigeria and China often describe their relationship as a \u201cwin win\u201d<\/a> partnership \u2013 a term China often uses<\/a> to describe its relationships with other African countries.<\/p>\n

During former Chinese President Hu Jintao\u2019s visit to Nigeria in 2006, his host and then Nigerian President, Olusegun Obasanjo, remarked<\/a>:<\/p>\n

\n

From our assessment, this twenty-first century is the century for China to lead the world. And when you are leading the world, we want to be close behind you. When you are going to the moon, we don\u2019t want to be left behind.<\/p>\n<\/blockquote>\n

Bitter sweet mixture<\/h2>\n

But 50 years of Nigeria-China relations has been a bitter-sweet mixture. At independence, Nigeria\u2019s pro-British and pro-West foreign policy had no dedicated space or support<\/a> for communist China.<\/p>\n

During the Nigeria-Biafra war<\/a>, the Nigerian government received arms support the from USSR<\/a> – but not China. It has been reported<\/a> that China supported Biafra in terms of small arms and ammunition via Tanzania.<\/p>\n

After the war, the Nigerian government implemented<\/a> the 3Rs – reconciliation, reconstruction and rehabilitation. It also visited countries in the West and East. It was within this context that Nigeria, along with other African countries, supported the 1971 resolution<\/a> to accept China as a full-fledged member of the UN.<\/p>\n

An economic exhibition followed in 1972<\/a> and Yakubu Gowon<\/a>, Nigeria\u2019s leader, visited Beijing in 1974<\/a>. But it was not until the early 1990s that China assumed an important role<\/a> in Nigeria.<\/p>\n

The backlash from the West over the annulment<\/a> of the June 1993 presidential election forced Nigeria to look more towards China.<\/p>\n

Thus, China became an important element for Nigeria\u2019s response to Western sanctions and other forms of pressures, and strategies to force a preferred political outcome. China\u2019s non-interference policy<\/a> in the domestic affairs of other countries fitted well into Sani Abacha<\/a>\u2019s ultimate goal of becoming a civilian president. The period also coincided with the early beginnings of Beijing\u2019s own \u201cgoing global\u201d policy that saw it unleash abroad its economic influence and multinational companies.<\/p>\n

Under Abacha, an agreement was signed in 1995 with the China Civil Engineering Construction Corporation to take up projects -although some reports trace the company\u2019s entrance into the Nigerian market to 1981. What is clear is that Nigeria is the company\u2019s first overseas market <\/a>; and currently CCECC works in 29 of Nigeria\u2019s 36 states.<\/p>\n

Over the last 50 years, the Sino-Nigerian relationship has developed clear patterns. Roughly, the first 20 years may be described as a political phase. The ensuing decade was a mixed era of political and economic features while the last 20 years or so show an intensification of China\u2019s economic presence in Nigeria. Clearly, the relationship has become more economic as China evolved from a political power to a global economic giant.<\/p>\n

However, after a half century of official relationship, the time has become ripe for a review of the balance sheet. <\/p>\n

The \u201cwin-win\u201d smiles<\/h2>\n

China is one of the most important lenders of development finance to Nigeria<\/a>. Chinese firms and finance play a prominent role in Nigeria\u2019s infrastructure development. This is notably in the construction<\/a> of railway lines and road (re)construction across the country. Some examples<\/a> are the $874 million, 187km Abuja-Kaduna rail; the $1.2 billion, 312km Lagos-Ibadan expressway; the $1.1 billion Kano-Kaduna railway lines and the $600 million airport terminals in Abuja, Lagos, Port Harcourt and Kano. <\/p>\n

Nigeria is also one<\/a> of Africa\u2019s top destinations for Chinese foreign direct investment (FDI). Although accurate figures are difficult<\/a> to ascertain, it is estimated that about 5% of Chinese FDI stocks in Africa and 4.6% of FDI inflow in 2019 goes to Nigeria<\/a>.<\/p>\n

Data on trade between the two nations for the first 30 years of their relationship is not available. Nevertheless, more reliable data has been available since 2003. Since then trade between the two nations has increased from US$1.86 billion<\/a> to an estimated US$20 billion<\/a> in 2019. Trade flows are in China\u2019s favour, with China running a trade surplus of about US$17.5 billion for the years 2015 to 2018. Nigeria sells crude oil to China and, in turn, buys manufactured goods.<\/p>\n

China also contributes to the development of Nigeria\u2019s human capital. Many Nigerian students now study<\/a> in Chinese schools \u2013 with a few on scholarship. Chinese companies are also building education<\/a> and training<\/a> facilities in Nigeria.<\/p>\n

The underbellies of win-win<\/h2>\n

The relationship is not without its problems. Aside from racism<\/a> against Nigerians and other black people in China, there are four other problems.<\/p>\n

First is the negative impact of Chinese imports on Nigerian industries, of which the biggest casualty has been textiles<\/a>.<\/p>\n

For example, in Kano – which is considered to be one of the main textiles cities in northern Nigeria<\/a>, an estimated 28,000 Nigerians<\/a> lost their jobs to Chinese imports as at 2015. <\/p>\n

Nigeria\u2019s shoe industry has also taken a big hit<\/a>. <\/p>\n

The second problem relates to the bad treatment of Nigerian workers by their Chinese employers. There have been many instances of maltreatment<\/a> of these workers. This raises questions about the ability of Nigerian government to develop \u2013 or enforce \u2013 appropriate labour laws and conduct regular inspection of work places.<\/p>\n

Third is the issue of unsubstantiated claims <\/a> about Chinese companies in Nigeria. A good example is the claim that China uses its prisoners<\/a> in construction projects in Nigeria.<\/p>\n

The fourth problem relates to Chinese loans to Nigeria, which often generate concerns among citizens. These range from those that believe they are unsustainable to those that claim that the agreements allow China to take over<\/a> Nigerian assets. These persist because of the secrecy surrounding the loans.<\/p>\n

Preparing for the next 25-50 years<\/h2>\n

Nigeria now needs to prepare for the next 25 to 50 years.<\/p>\n

China can continue to play an important role in Nigeria\u2019s development. However, Nigeria must urgently address the negative side of the relationship. <\/p>\n

First, Nigeria\u2019s regulatory institutions, including the courts, standards setting bodies, ministries and agencies, must apply the laws of the country without fear or favour.<\/p>\n

China has said<\/a> it will not tolerate Chinese companies disregarding Nigeria\u2019s labour laws. But, it is up to the local regulatory institutions to assert the supremacy of the Nigerian law.<\/p>\n

Secondly, Chinese textile firms must be encouraged<\/a> to create employment.<\/p>\n

Lastly, people-to-people relationship must also be encouraged and strengthened.<\/p>\n

Source: The Conversation<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

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