Foreign companies undervalue Africa’s natural resources, in particular by paying derisory prices for carbon sequestration, described as “carbon grabbing” by Akinwumi Adesina, President of the African Development Bank (AfDB). African carbon credits, often linked to deforestation reduction projects, are sold at very low prices, sometimes as low as $1 per tonne of CO₂, putting African countries at a disadvantage. Adesina proposes recalculating Africa’s GDP to include its natural capital, which could improve African countries’ access to more affordable finance. It calls for a full utilization of Africa’s hydrocarbon resources while advocating for investments in renewable energy. The AfDB chief stressed the need for Africa to reduce its dependence on Western aid and focus on trade, investment and effective debt management. Adesina supports the creation of an African rating agency to counter the biases of international rating agencies that overestimate African risks.
Source : Financial Times
