Nigeria-Japan Relations: A Comprehensive Overview

Foreign policy is a crucial instrument for any state to pursue its national interests and secure its place in the international community. A good foreign policy leads a state in fulfilling its national interests and acquiring rightful place among comity of nations. As such the study of foreign policy forms an important part of international studies.

This study examines the Japan-Nigeria relations after Nigeria’s independence and the changing nature of the foreign policy of both countries. This year is significant because it is also the same year Japan officially recognized Nigeria as a State. The study will adopt a secondary research methodology which shall entail a collection of secondary data from various relevant and credible sources. This form of methodology involves using already existing data and research materials published in research methods and other similar documents.

George Modelski, defines it as “the system of activities evolved by communities for changing the behaviour of other states and for adjusting their own activities to the international environment. Foreign policy must throw light on the ways states attempt to change, and succeed in changing the behaviour of other states.” Modelski, noted only those aspects of policy that aim at the change in the existing behaviour of states, as the primary objectives of foreign policy.

The relationship between Japan and Nigeria which initially began upon recognition of Nigeria as State in 1960 has changed and thereby the use of aid has subsequently changed. Japan recognized Nigeria as a nation on 1 October 1960, by formally establishing diplomatic relations between the two countries.

The outcome of the study will improve the understanding of distinct phases of Japan-Nigeria relations since the diplomatic relations between both nations began. The study focuses on the historical development of Nigeria’s relations with Japan and their foreign policies since Nigeria’s independence. This study considered the contemporary Japanese economic relations with Nigeria in the Fourth Republic, which is from 1999-2017.

Read also: Nigeria and Japan: Key Differences

Nigeria established diplomatic ties, at ambassadorial level, with Japan 55 years ago, and since then bilateral cooperation between the two countries has been growing steadily until the 1990s when there was a downturn in the trade and commercial exchanges between them. However, the emergence of democratic governance and the reforms in the economic, financial and investment sectors of the economy have led to an upsurge in the number of Japanese businessmen doing business in Nigeria.

Japan-Nigeria relations are the bilateral relations between Japan and Nigeria.

While trade relations between the two countries are important, cultural and political relations have also been described to be of great importance. For instance, Adeleke (2010) stated that cultural and political relations between the two countries could bring about greater understanding.

Nigeria and Japan are two great nations which play prominent roles at the international scene. Though Nigeria is a developing country and Japan is a developed and highly industrialized, both have a lot to gain from their economic relations. For example, Nigeria could gain a lot from the technological advancement of Japan; also Nigeria can gain by cultivating a good habit of viable economic planning from Japan. This is most essential now especially that Nigeria’s industrialization efforts have been import-oriented (Adeleke, 2010).

Japan's Foreign Policy and Economic Diplomacy

Japan’s foreign policy propelled her recovery from the ruins of the Second World War (WWII) to become a fully industrialized country by the end of the 20th century. The country’s foreign policy pursued the path of diplomacy, which began after Japan’s entry into the United Nations in December of 1956. In 1957, Japan’s diplomacy, as expressed in the first issue of its Diplomatic Blue Book, specified economic diplomacy as one of the main pillars of its foreign policy. It was in the light of this that Japan began to develop economic international relations.

Read also: The Rise of Nigerian Basketball

During the late 1950s and 1960s, Japan’s rapidly growing economy demanded that the country seek new markets to secure the necessary resources to sustain her energy-deficient country. Japan’s establishment of its geo-economic interests with aid disbursement created a dilemma for the recipients as it implied an inherent dependency and this brought about some difficult political problems.

Historically, the Nigeria- Japan relations reached a crescendo 18 years ago when former Prime Minister Mori visited Nigeria. The visit was the first by any Japanese Head of Government to Sub-Saharan Africa since the end of the Second World War. Former President Olusegun Obasanjo had earlier visited Japan on assumption of office in 1999. Ten years after, senior officials of the Japanese and Nigerian Foreign Affairs Ministries met under the Japan-Nigeria Special Partnership Programme to discuss mutually beneficial array of issues.

Three Special Partnership meetings have been held in the past between the two countries. In addition, the Nigerian International Affairs Minister visited Japan at the invitation of the Japanese Foreign Minister 10 years ago, to discuss issues of mutual benefits. Since the upsurge in business and economic relations, there has also been exchange of visits by the trade, business and investment commissions of both countries.

Economic Ties and Trade Relations

As of 2015, trade between Japan and Nigeria has exceeded 99,000 Million Yen or about $902 Million. Japan and Nigeria have looked into developing further trade ties by creating organizations such as the Japan-Nigeria Business Facilitation Council. It was formed during the 7th annual Tokyo International Conference for African Development (TICAD) in Tokyo (Otaru, 2019). Due to Nigeria’s large economic size, oil industries and burgeoning economy, several Japanese companies have taken an interest in investing into Nigeria as a hub for Japanese interests in West Africa and Africa as a whole.

Despite the assumed inequality however, a developing country like Nigeria stands to gain from her relations with the advanced economies of the world. This is most essential now especially that Nigeria’s industrialization efforts have been import-oriented (Adeleke, 2010). The basic argument is that the reason behind Japan's frequent presence in Nigeria is chiefly in order to satisfy Japan's growing need for raw materials and market for her finished goods.

Read also: Requirements for Nigeria Police Clearance

This study also seek to find out if Nigeria-Japan economic relations have enhanced economic development in Nigeria within the period under review, since Japan is more economically stable than Nigeria. In setting this task, the study utilized data from primary and secondary sources, which was majorly, key information interview and was anchored on Comparative Advantage of David Ricardo as a theoretical framework for analysis.

The research argued that, although, in economic terms, the balance of trade is in favor of Japan due to the rate of inportation of Japan's finished products into Nigeria as against what Nigeria export to Japan. The study shows that, they did not contribute to rapid economic and infrastructural development, as a result of the economic and security recession faced in Nigeria and other endogenous challenges experienceed. Japan on the order hand, have made conscious effort in ensuring that, Nigeria develops progressively.

It was formed during the 7th annual Tokyo International Conference for African Development (TICAD) in Tokyo. Due to Nigeria's large economic size, oil industries and burgeoning economy, several Japanese companies have taken an interest in investing into Nigeria as a hub for Japanese interests in West Africa and Africa as a whole.

From the Nigeria side, the driving force in her economic dealing with Japan is the Vision 2020, a grand agenda which Abuja adopted as the main thrust of what Nigeria is out to accomplish by the year 2020. It is a 13-year plan of dramatic socio-economic transformation of the country. The goal of the vision is to transform the Nigerian economy to be in the league of the 20 most industrialised countries of the world.

Nigeria’s economic potential is well recognised. She is the biggest economy in the West African sub region. Given the country’s considerable resource endowment and coastal location there is potential for strong growth. Previous efforts at planning and visioning were not sustained. The history of economic stagnation, declining welfare and social instability, has undermined development for most of the past 30 years.

Investment Opportunities in Nigeria

There are over 2000 industrial establishments in the country. Among these are a giant oil industry, Iron complexes, steel rolling mills, pharmaceutical industries, food processing, car assembling and the up-coming Export Processing Zone (EPZ). The Buhari administration economic policy favours and places priority on greater investment in agricultural production and manufacturing and exports of production, abundantly skilled and versatile human resources and access to a vast local market of over 180 million people and beyond in the sub-region.

“In fact Japan’s first aid to Africa followed after Nigeria’s decision in August 1963 to restrict Japanese imports while Kenya, Tanzania and Uganda threatened to do the same” (Nester, 1991). The restrictions in imposed by Nigeria were intended to direct Tokyo not to extract resources out of the country without any meaningful returns to Nigeria and other African countries particularly through long-term investment. However, Japan found long-term investment a problem in Africa.

Japanese business cited many reasons why it held such a pessimistic view regarding investment in the region “in order of importance, political instability, and difficulties in raising capital, poor quality of labour, economic instability, and difficulties in collecting information. Other difficulties cited include poor transportation and communications infrastructure, government corruption, inefficiency and red tape, and fears that Africans simply perceived the Japanese as “economic animals” (Mlombo, 2012).

TICAD and Development Cooperation

TICAD was however, launched by Japan 26 years ago as an international forum designed to refocus the attention of the international community on Africa’s developmental issues and to mobilise for its support. The essence was to promote the building of bridges between Asia and Africa; and to provide a platform through which the Asian experience, in all aspects, could be harnessed and applied for the benefit of African development.

There has been TICAD I - V held in Tokyo at different times. Before the Nairobi confab, the Japanese Government during the last Yokohama conference, pledged to provide up to $4.00 billion of soft loans to Africa to help increase momentum for infrastructure improvement. In addition, Japan promised to double the disbursements of Official Development Assistance (ODA) to Africa in five years. She has been true to her pledges.

Japan has over the years promoted an active cooperation with Nigeria in the educational and technical fields, through the Japan International Cooperation Agency (JICA), which sponsors educational exchange programmes, builds schools and offers grants to scholars for specific studies in Japan. JICA, which has office in Abuja, has also helped the giant of Africa in the field of rural electrification and agricultural projects, such as rice production and milling in Edo and Imo States.

The grants in aid are being used for the improvement of education, rural development and health care delivery - rural electrification, solar energy development, construction of additional classrooms for the Universal Basic Education (UBE) Programme, the treatment and eradication of killer diseases like; malaria, polio, VVF, HIV/AIDS, guinea worm, etc.

President Muhammadu Buhari on Sunday departed Abuja, Nigeria’s capital for Japan to participate in the seventh Tokyo International Conference on African Development (TICAD7) holding in the city of Yokohama, from August 28-30.Buhari’s participation will be his second, having attended TICAD6 in Nairobi, Kenya, in August 2016. With the theme, Africa and Yokohama, Sharing Passion for the Future, the opening session of TICAD7 will be performed by the Japanese Prime Minister and host, Shinzo Abe.

Buhari is expected to deliver Nigeria’s statement during the plenary session three in which he will appraise Nigeria-Japan relations and takeaways from TICAD6, and also attend a state banquet as well as honour the invitation of Emperor Naruhito to a tea reception at the Imperial Palace, Tokyo. In addition to a bilateral meeting with Prime Minister Abe, Buhari will equally attend some side-events and meet chief executive officers of some Japanese companies with huge investments in Nigeria.

Formed in 1993, the now triennial TICAD, which has been convened alternately in Japan and Africa since TICAD6, according to the organisers, is the largest international conference held in Japan which “provides an open forum that generates innovative discussion among various stakeholders on African development.” Participants are drawn not only from African countries, but also international organisations, private companies and civil society organisations involved in development.

TICAD7 is expected to focus on Africa’s “economic transformation and improvements in business environment and institution through private investment and innovation; promotion of resilient and sustainable African society for human security; and peace and stability in support of Africa’s domestic proactive efforts.”

Nigeria has gained tremendously since her participation in TICAD6 at the highest level, during which Japan pledged $30 billion investment “for the future of Africa combined with the private sector”, $10 billion infrastructure investment, and $500 million for vocational training of 50,000 Africans.

Since the Nairobi Conference, Japanese government and companies have been very active in supporting Nigeria’s agriculture, healthcare, electricity and youth empowerment.

While in Yokohama, President Buhari and his delegation are expected to push for broader Japanese assistance in the areas of science and technology, innovation, human resource development, education, agriculture, power, health and disaster risk reduction, among others.

Japanese Investment in Nigeria's Energy Sector

Marubeni Corporation of Japan is involved in the development of Nigeria’s energy sector. The corporation rehabilitated the Egbin Thermal Station in Lagos, the commercial capital of Nigeria and is still very much engaged in other power projects in the country. Other companies like the Chubu Electric and Mitsubishi Company of Japan are also involved in power projects in Nigeria.

Светлые страницы в истории японо-российских отношений

Popular articles:

tags: #Nigeria