If Nigeria and Ghana start a trade war with South Africa like some of their gov officials are now starting to talk about that possible option, who will lose more?
First let’s look at the exchanged goods. Both Nigeria and Ghana sell crude oil to South Africa, which South Africa can replace with Angola, UAE and even Russia. The price change of fuel will not be noticeable. We buy crude from them because it’s convenient. Not because it’s a must.
Now let’s look at what would happen to them. First of all, all their telecommunications infrastructure and banking are South African. Shutting those down would cause immediate chaos.
Secondly, they buy industrial machinery from us. I know you think they can just buy in China. Nope! Because they are using our banks, and their currencies are too low on strength, trying to buy from China using Dollars or Yuan will finish their reserves.
How? Because SA trades and work with these countries, it can accept their weaker currencies. Also because of the new Pan African payment system called PAPSS, which uses local African currencies, these guys do not have to sell their Dollar reserves and use them for day to day trade. Because if they were to buy the same goods from a non African country, they would have to sell their dollar savings because the dollar is strong and then buy day to day goods. And when they don’t have dollars their currencies can be attacked.
When Forex traders know that a country’s currency is on its knees and they don’t have external dollars to buy it back in case of an emergency, they will short it and profit from your collapse. So it’s a must for countries to hold external currencies for emergencies. So South Africa protects these countries in a way because it can be a buffer that helps them get goods without using their security reserves.
Not to mention transport costs importing from Beijing won’t be as cheap as importing from Durban. Transporting machines is more sophisticated and expensive than transporting oil. And if they decide, they are going for a non African option anyway, they may find that overseas nations will dominate their industries in a way that South Africa can’t. Because South Africa uses their local economic participation and integration.
So if a misguided trade war were to be started by these 2 nations, it would be the most suicidal thing we have ever witnessed in the history of trade wars. It would be extremely unwise for these guys to start something like that. Literally their economies would plunge to Zimbabwean levels in the 2000s. Do not worry about these diplomats and “experts” on social media. They do not understand the real situation.
You South Africans, continue holding your leaders accountable and make them implement your laws without fear. Le ska tshaba. South Africa is the protector of these countries.
I wonder how the South African Government and Department of Home Affairs feel really for what you have done to our country??
This man has been living in South Africa illegally for 10 Years, he claims he was running a “business” with no papers, obviously not even contributing a cent to our taxes, probably rigging electricity and water and living in a hijacked building and just leeching off this country as they almost all do, the minute he lands in Nigeria he starts badmouthing South Africa and claiming all of this is Xenophobia?
Their government has taken no responsibility at all for the people they are repatriating who have been living in our country illegally. All 586 of them were illegal immigrants and there’s still millions of them living here illegally refusing to go but calling us xenophobic , they don’t even care to acknowledge or apologise for their people breaking our laws and all they are doing is acting like their people are victims of a fake Xenophobia… And the South African government doesn’t see anything wrong with keeping these people here when you don’t even get a THANK YOU but instead they demand to be documented as refugees and asylum seekers and taken care of by the state with South African taxpayers money??? He applied for asylum but look at him back in his own country safely with no issues, so what was the asylum for?? Yah no we have been living in hell and allowed ourselves to be gaslighted just because we are scared what ppl will think of us… not anymore ‼️‼️
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