Impact of the coup in Niger on the logistics sector in Ghana
The potential destabilising impact of the coup in Niger on Ghana’s logistics sector highlights the importance of Ghana’s role in promoting regional stability through ECOWAS.
Dear Readers,
the recent coup d’état in Niger, which occurred on 26 July 2023, has raised international concern about the possible impact on neighbouring countries. However, there are no specific reports of the impact on Ghana. Relations between Ghana and Niger are historically close and have a long history of brotherhood, friendship, cooperation and mutual support. There are currently no specific reports of the political unrest in Niger affecting the logistics sector in Ghana. Nevertheless, the situation may prove to be a potentially destabilising factor for areas of logistics in Ghana in the future.
The impact of the coup
Following the coup, international voices unanimously condemned the incident and called for the swift restoration of constitutional order. During the coup, President Mohamed Bazoum was arrested by the presidential guard and replaced by General Abdourahamane Tchiani, who now heads a military junta. World powers such as the United States, Germany, France, the United Nations and the African Union have pledged their support to Bazoum and appealed to the coup plotters to release him and respect the democratic will of the Nigerien people.
After the junta took power, the constitution was suspended, parliament dissolved, borders closed and a night curfew imposed, severely affecting the regular functioning of Nigerien institutions and the economy. The impact of these measures was felt in Ghana’s logistics sector through the closure of borders. The movement of goods and people was significantly affected, leading to uncertainty, delays and potential losses for traders and businesses. The coup further aggravates the unstable security situation in Niger, which is characterised by protests between supporters and opponents of the coup, but in the meantime, it can be observed in various cities in Niger that there are increasing expressions of sympathy for the coup plotters among the population. In the meantime, the coup leaders have also reopened border crossings to five neighbouring countries.
Importance of Ghana for Niger’s logistics sector
Niger’s logistics sector is highly dependent on Ghana. Bilateral trade between the two countries is estimated at $77 million in 2020, according to the World Bank. Ghana serves as an important gateway for Nigerien exports to other coastal countries such as Côte d’Ivoire, Togo and Benin. The majority of these trade movements are by road, which accounts for over 90% of goods traffic in West Africa. This can lead to obstacles in logistics for Ghana if the political situation develops negatively.
Notwithstanding the coup d’état, Niger’s poorly developed road network is a major problem. The road network is particularly vulnerable to attacks by Islamist militants and bandits, especially in the northern and eastern regions of the country. The coup could further exacerbate the already precarious security situation in Niger and increase the risks and costs for Ghanaian hauliers and traders as well.
There are currently no specific reports that the coup in Niger will limit Ghana’s access to other markets in the Sahel, which are critical to the country’s economic diversification and regional integration efforts. According to a study by the African Development Bank (AfDB), Ghana is an important trading partner for several landlocked countries in the Sahel, such as Burkina Faso, Mali and Chad. These countries are potential markets for Ghanaian products such as cocoa, gold, petroleum, textiles and pharmaceuticals. However, the coup could affect the supply of energy and other essential goods to these countries, which they purchase from Ghana. This could have a negative impact on political stability and human security in the region. It is therefore in Ghana’s interest to support a peaceful resolution of the Niger crisis and strengthen regional cooperation.
Ghana’s response and role in promoting regional stability
As the current chair of the Economic Community of West African States (ECOWAS), Ghana plays an important role in promoting peace and stability in the region. Headquartered in Abuja, Nigeria, with some divisions in Accra, Ghana, ECOWAS has a long history of conflict resolution and prevention in the region. In 2017, for example, Ghana led a peacekeeping mission in The Gambia following the overthrow of former President Yahya Jammeh.
The Ghanaian government has expressed concern about the coup in Niger and has advocated for dialogue and respect for democracy. This is according to a statement issued by the Ghanaian Ministry of Foreign Affairs on 27 July 2023.
The EPSAO (Support from ECOWAS) project, supported by the German Federal Ministry for Economic Cooperation and Development (BMZ) and co-financed by the European Union (EU), aims to address many of these issues. Launched in 2019, the project aims to facilitate cooperation between ECOWAS institutions, member states and civil society to prevent and manage conflicts more effectively.
It is evident that the coup d’état in Niger does not pose much of a challenge to Ghana’s logistics sector at the moment, but the proactive steps taken by regional bodies such as ECOWAS alongside national efforts signal a commitment to addressing the crisis.
In my view, as the coup progresses, Ghana’s role within ECOWAS will be crucial in promoting peace and stability and ensuring the smooth functioning of the logistics sector in the region.
Yours sincerely
Thomas Hellmuth-Sander
