By Nana Karikari, Senior Global Affairs Correspondent
South African President Cyril Ramaphosa has warned that the escalating conflict in the Middle East is causing significant disruption to African supply chains and driving up energy costs across the continent.
Speaking on Wednesday, 4 March 2026, at the Africa Energy Indaba conference in Cape Town, Mr Ramaphosa noted that the region’s instability is already being felt by African economies. The summit—attended by international energy ministers and African Union officials—comes amid extreme volatility in global energy markets following a series of military escalations on March 1.
The local impact: From Hormuz to the pump
The disruption in the Strait of Hormuz is not just a maritime issue; it is a cost-of-living crisis for West Africa. In Ghana, experts from the Africa Centre for Energy Policy (ACEP) have already warned that local fuel prices could see a sharp hike as global crude prices surge. For the average Ghanaian, this means higher transport fares and a potential derailment of recent gains made in bringing inflation down to single digits.
“The trickle-down effect is immediate,” noted local economists at the summit. “Once fuel and transport costs go up, it affects every essential good, triggering cost-push inflation that hits vulnerable populations the hardest.”
Energy markets in turmoil
Oil and gas prices have surged after Israeli and US strikes on Iran. Tehran responded with retaliatory strikes targeting Gulf energy infrastructure, forcing the shutdown of several oil and gas facilities.
The unrest has also effectively halted shipping in the Strait of Hormuz, a critical global maritime chokepoint through which 20% of global oil flows. Analysts warn that continued instability in this corridor could lead to a sustained inflationary shock for import-dependent nations.
Vulnerabilities exposed
President Ramaphosa told delegates that the current crisis mirrors previous global shocks.
“Africa is already experiencing the impact of the escalating conflict in the Middle East, with strains on supply chains and higher energy prices,” Mr Ramaphosa said.
He highlighted that the continent remains particularly susceptible to shifts in international relations.
“As we have seen with Russia-Ukraine and during the COVID-19 pandemic, shifting geopolitical sands underscore the vulnerabilities of import-dependent economies across Africa,” he added.
The industrial imperative
Mr Ramaphosa argued that these “geopolitical sands” necessitate a fundamental shift in how Africa manages its resources. He pointed to a stark “energy gap” where more than 600 million Africans lack access to electricity, despite the continent’s vast reserves of solar, wind, and gas.
“Africa’s energy agenda must be linked to an industrial agenda,” the President asserted, calling for the domestic “beneficiation” of critical minerals rather than simple export. He urged a move away from “extractive models” of infrastructure that served colonial-era enclaves, toward an integrated system that “connects Africa to itself.”
A G20-backed vision
To operationalize this shift, the President highlighted the “Ten-Year Africa Energy Infrastructure Investment Plan,” inaugurated under South Africa’s G20 Presidency. The plan aims to move past” fragmented initiatives” toward a coordinated pipeline of bankable projects, such as the Ghana-Côte d’Ivoire Interconnection, which facilitates cross-border electricity trade.
Under the framework of the African Union’s Agenda 2063, the plan prioritizes regional power pools and cross-border interconnectors. These systems are designed to allow nations to share resources—such as hydropower and solar—to balance risk and ensure “productive access” that can sustain manufacturing and job creation.
A call for unity
Closing his address, Mr Ramaphosa called for a “unity of effort” between public and private sectors. He emphasized that Africa’s growth should be viewed by the international community not as a “risk to be managed,” but as an “opportunity to be realised,” urging partners to move from promise to construction to secure the continent’s dignity.
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Source:
www.gbcghanaonline.com
