Global News: A Flood of Cheap Chinese Exports Is Putting The Entire global Economy At Risk, France's Finance Minister Warns
Nigeria's GDP falls farther from Tinubu's $1 trillion economy dream on weak naira, low growth
The entire world economy that risk from a glut of cheap Chinese export France's Finance Minister Bruno Maire said in tandem with a barrage of joint criticism from the Group of Seven.
"We have an issue with the economic model in which channel is producing more and more cheaper industrial devices because it could be a threat not only for the EU, not only for the US, but for the global world economy," Le Maire said in an interview with Bloomberg Television. "We need to address that issue."
Our thoughts
Cheap China!
Consumers are looking for cheap goods, politicians and their capitalist supporters are looking to keep prices up! They claim China is a threat to the global economy (Is this the case or a threat to their private wealth).
We expect EU to fight back just like US has done and is still doing. (US slammed 100% tariff on specific Chinese product earlier this month).
We also expect that China will retaliate. Fundamentally the world needs innovation and disruption to improve global buying power.
The lesson from China - Make yourself so uniquely valuable that people can't do without you.
Don't hate the player, it's the game.
African News: Post-COVID, China is back in Africa and doubling down on minerals
China's flagship economic cooperation program is bouncing back after a lull during the global pandemic, with Africa a primary focus, according to a Reuters analysis of lending, investment and trade data.
Chinese leaders have been citing the billions of dollars committed to new construction projects and record two-way trade as evidence of their commitment to assist with the continent's modernization and foster "win-win" cooperation.
Our thoughts
While others are crying fowl, China is doubling down!
There is an obvious and budding race to get a piece of the African pie!
Developed countries are pitching their tents in various countries (see UAE & Egypt, and recent news on US & Kenya). China is not left out, with their reach spread across countries, regions and sectors!
With rich and untapped resources we understand why they would be eyeing Africa. Question, outside of our Jurisdiction, what are you doing to get a piece of the pie? Our June webinar will be focused on exploring investment opportunities in Francophone Africa.
Nigerian News: Nigeria's GDP falls farther from Tinubu's $1 trillion economy dream on weak naira, low growth
Rocking his agbada on a Monday, October 23, 2023, at the 29th Nigeria Economic Summit in Abuja, the President of Nigeria, Bola Tinubu, told business leaders and Nigerians that Nigeria’s economy can grow to $1 trillion by 2026.
He added that a $3 trillion economy is possible in a decade with the assurance that his government can ensure “double-digit, inclusive, sustainable and competitive growth.”
Our thoughts
GDP stands for "Gross Domestic Product" it is the total of all productive activities in Nigeria. Trade, farming, services, everything valued and added up.
So what will happen when security issues slow down farming, or rising cost of input shut down businesses? Of course production slows down and the economy (i.e. GDP) will shrink. Then when you add high interest rates by the Central Bank, money becomes more expensive so people tend to invest more and spend less. lower sales = lower GDP.
The president set a target of $1trillion GDP by 2026. If FX challenges are not fixed, we will simply be moonwalking: walking forward but actually retrogressing. Economic growth is not just talk, we need to fix security, ease of doing business and taxes or things will keep sliding.
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