Denge Josef Onoh, the former southeast spokesman for President Bola Ahmed Tinubu, has issued a sharp warning regarding the new designation of Nigeria as a “Country of Particular Concern” (CPC) by United States President Donald Trump. In a statement released to journalists in Abuja, Onoh argued that the CPC designation—for severe violations of religious freedom, specifically citing the persecution and killings of Christians by groups like Boko Haram and ISWAP—is an existential threat to the nation’s stability and global standing. He maintained that while the intention to combat religious violence is understandable, the resulting economic collateral damage to the nation, the Tinubu administration, and both local and international investors will be catastrophic.
The former spokesman stressed that the designation, made under the International Religious Freedom Act (IRFA) of 1998, is more than symbolic rhetoric, as it empowers the US government to impose a range of punitive measures. These actions may include economic sanctions, restrictions on foreign aid, the introduction of trade barriers, and visa limitations on officials implicated in religious freedom violations. Onoh suggested the Nigerian administration must acknowledge some failure, particularly criticising a “nonchalant approach” in appointing ambassadors, and view the US designation as an urgent awakening that demands immediate action to avert further isolation and economic peril.
For Nigeria, which is already experiencing high inflation exceeding 30 per cent, a depreciating naira, and persistent foreign exchange shortages, the CPC listing threatens a cascade of national and global repercussions. Domestically, US aid, which has exceeded $1 billion annually in recent years for security, health, and education programmes, faces potential suspension or redirection, which could particularly harm rural communities in the Middle Belt affected by violence. Furthermore, small and medium enterprises (SMEs) are projected to suffer due to supply chain disruptions, with imported machinery and inputs from US partners in manufacturing hubs like Aba and Kano potentially facing tariffs or delays, which could inflate production costs by up to 20 per cent.
Globally, the country’s reputation as a stable investment destination could be severely damaged, with the designation amplifying perceptions of systemic risk and deterring Foreign Direct Investment (FDI) in critical sectors such as oil and gas, which constitutes 90 per cent of export revenues. Onoh pointed out that multinational corporations like Chevron and ExxonMobil may accelerate their divestment, recalling the estimated $10 billion in delayed projects that followed Nigeria’s 2020 CPC listing. The nation’s trade relations under the African Growth and Opportunity Act (AGOA) could also be jeopardised, with US tariffs on Nigerian petrochemicals and textiles possibly increasing by 10 to 15 per cent, which could cost exporters an estimated $500 million annually.
Moreover, Onoh indicated that credit ratings from international agencies such as Moody’s and Fitch are likely to be downgraded further, potentially from B2 to Caa1, which would inevitably trigger higher borrowing costs on Eurobonds and reduce access to annual FDI inflows. Emerging market funds are expected to pivot to “safer” African countries such as Ghana or Kenya, leading to capital outflows that would further strain the current account deficit and pressure the naira towards a rate of N2,000 per dollar. The resulting investor flight, he claimed, could slash GDP growth projections from 3.3 per cent to below 2 per cent, mirroring International Monetary Fund estimates for sanctioned economies, thereby fuelling unemployment and social unrest.
