Boosting trade and promoting stability were part of discussions at the first Saudi-African Summit. Photo courtesy
Africa is becoming a key player in geopolitics. The United States, Russia, and China held events courting African leaders in the past couple of years. Saudi Arabia became the latest country when it hosted the Saudi-Africa Summit in Riyadh. Prime Minister of India Modi recently successfully pushed for the inclusion of the African Union as a permanent member of the G20.
Who is this new friend on the block, and what can Africa benefit from Saudi Arabia? What can Saudi Arabia benefit from Africa?
The leadership of crowned Prince Mohammed bin Salmon has sought to expand the Saudi sphere of influence beyond the Middle East. Saudi Arabia has shifted across the Red Sea to cement its influence in the African continent.
Saudia Arabia has a competitive advantage. According to the International Household Survey Network, 44% of Africans are Muslim. African Muslims travel to Mecca for the annual pilgrimage. This religious aspect makes Saudia a reliable and trustworthy partner in the eyes of many African Muslims.
Sudan, Egypt, Libya, Tunisia, Morocco, Algeria, Somalia, and Mauritania are members of the African Union and the Arab League. Saudi Arabia has the biggest economy in the Arab League, and it strongly influences the bloc. Africa isn’t new to Saudi Arabia, and Saudi Arabia isn’t unique to Africa.
The Arab League and Islam are an entryway for Saudia into the African continent. Saudia Arabia has a strong geopolitical position and strong financial and economic potential. Saudia Arabia has a $600 billion sovereign wealth fund and a hunger for economic diversification. Africa is the perfect investment hotspot for the Kingdom.
According to the Africa Development Bank, just 53 percent of roads on the continent are paved, isolating people from access to essential services, including healthcare, education, trade hubs and economic opportunities”.
This infrastructure investment gap allows Saudia Arabia to invest in African development and reap the benefits. During the Saudia-Africa Summit, the Kingdom signed investment agreements with Kenya, Nigeria, Mozambique, Senegal, Chad, Ethiopia, and South Sudan. The Kingdom prioritizes investment in industry and agriculture and seeks to promote value addition.
African countries are nonaligned and must work with countries that serve their political and economic interest. Economically, if Saudia Arabia provides finances and investment for Africa’s development, that will have a positive impact.
Politically, many African countries have been shunned by the West and seek to rekindle their relationship with the United States and the West. Saudi Arabia has a strong relationship with the United States and can mediate positive relations between the US and African countries. This could be crucial for geopolitics.
Africa’s new friend on the block has the potential to change geo-politics. Saudi Arabia can benefit Africa politically and economically.
*Culled from December Issue of PAV Magazine. Akol Dok is the Managing Partner of Orus Consulting Limited, a business advisory and public relations firm based in East Africa. He is a political and economic analyst featured on CNBC Africa, CGTN Africa, Radio Miraya, RT International, Yahoo News, and The Nation. He hosts the Akol Dok Show, a weekly show discussing African political and economic affairs. He is very vocal about the potential of Africa playing a role on the global stage.
