Zamikhaya Maseti
Last week, the African Union (AU) concluded its 38th Ordinary Session that was held on 15-16 February 2025 in Addis Ababa, Ethiopia.
While the summit focused on the continent’s pressing challenges, one issue that did not make it onto the official agenda, but remains of critical importance, is the broader impact of former U.S. President Donald Trump’s drastic cuts to aid in Africa.
This is a double-edged sword. While many have rightly pointed out that the withdrawal of U.S. aid could accelerate Africa’s long-overdue delinking from the Global North’s economic grip, the consequences of this decision will cut both ways, piercing through the work lives of ordinary Americans and dealing a blow to American businesses.
For decades, aid has functioned as more than just financial assistance; it has been a strategic tool to create dependencies, shape political allegiances, and, crucially, provide U.S. corporations with access to African markets under favourable conditions.American businesses, particularly in sectors like agriculture, pharmaceuticals, and infrastructure, have long relied on aid as a vehicle for market penetration.
Aid money did not simply flow into Africa as a charity—it was often tied to contracts that benefited American firms, ensuring that U.S. companies had a foothold in strategic industries across the continent. With the aid tap now turned off, those same businesses will find it much harder to operate in African economies that are increasingly looking elsewhere, to China, the European Union and even intra-African trade arrangements, for partnerships.
For the American working class, particularly those employed in industries that profited from the U.S.- Africa trade relationship, this policy shift could mean job losses and reduced economic opportunities. The very people who were rallied under the banner of “America First” may now find themselves on the receiving end of its unintended consequences.
At a broader level, America’s withdrawal from key global economic spaces signals its diminishing relevance in shaping international economic dynamics. Nowhere is this clearer than in its decision to withdraw from the G20 Summit set to be hosted by South Africa in December 2025. This withdrawal, rather than a show of strength, is a demonstration of the U.S.’s declining influence in a world that is rapidly moving toward multipolarity.
The combined economic power of the G20 countries—particularly when factoring in BRICS+ nations—far outweighs that of the U.S. alone. Washington’s absence will do little to derail global economic discussions; if anything, it will reinforce the shifting global order. More crucially, it inadvertently accelerates the ongoing de-dollarization campaign. The effort by several countries, including China, Russia, India, and Brazil, to reduce reliance on the U.S. dollar in international trade and finance.
De-dollarization is not merely a theoretical debate; it is an active process already reshaping global trade. Countries are increasingly conducting transactions in local currencies, establishing alternative payment systems outside of SWIFT, and diversifying foreign exchange reserves away from the dollar.
Scholars like Michael Hudson, Radhika Desai, and economist Zoltan Pozsar have long argued that the dollar's dominance has functioned as a tool of economic coercion, allowing the U.S. to weaponize sanctions and dictate global financial rules. The current trend toward multipolar finance, where multiple reserve currencies exist, weakens America’s ability to use its currency as an instrument of control.
With the U.S. retreating from multilateral engagements and global institutions, it is inadvertently hastening its economic decline. By withdrawing from the G20 and severing its economic ties with the Global South, Washington is not isolating its rivals, it is isolating itself. The question is not whether the world can move on without America; the question is how long it will take for American policymakers to realize that the world already has.
If there is one nation that has refused to be bullied into submission, it is South Africa. By taking the matter of Israel’s actions in Gaza to the International Court of Justice (ICJ), South Africa has not only exposed the moral bankruptcy of the so-called global order but has also shown that the emperor is, indeed, naked.
The backlash was expected—because when the truth is laid bare, those who have long dictated the rules of engagement will do everything to silence dissent.
The absurd attempt to weaponize the Expropriation Act, claiming that white South Africans are being persecuted, exposes the desperation of those who wish to undermine South Africa’s credibility. This is nothing more than a smokescreen, a feeble excuse designed to distract from the real issue: South Africa has dared to challenge the status quo.
It has refused to be complicit in global injustices, and for that, it is being vilified.But this is not just about South Africa. This is about Africa. The entire continent must rally behind South Africa, recognizing that this is a defining moment in the fight against global double standards. The ICJ case is not just a legal battle, it is a moral reckoning. The world is watching, and Africa must stand tall, united in its demand for justice.
South Africa has taken a bold step, and it is a step that should make the entire continent proud.This is the true silver lining in Donald Trump’s conservative Republicanism. In the long term, his policies will injure the economy of America and its people, while on the other hand, they will shift the balance of forces in favour of the progressive world. The pendulum is shifting, and Africa must be ready.
The era of economic dependency and imperialist dictates is fading. The ground has long shifted, and Trump, blinded by his stupidity, is incapable of seeing it. African nations must now prepare to find new markets for their products, forge stronger trade alliances with emerging economies, and position themselves as key players in the evolving global order.
The United States, under Trump’s reckless policies, is accelerating its decline. By turning inward, withdrawing from global structures, and cutting ties with the Global South, it is doing what no external force could accomplish, dismantling its imperialist grip on the world.
Africa must seize this moment. Not in desperation but in confidence. Not in isolation but in strategic alignment with emerging global powers.
Trump's short-sighted policies will ultimately cripple America's economic standing, while for Africa, they present an unprecedented opportunity to forge a new path. One rooted in sovereignty, self-reliance, and economic independence.
The battle lines are drawn. Africa must not only be ready, it must lead.
* Zamikhaya Maseti is a Political Economy Analyst and holds a Magister Philosophiae (M.Phil.) in South African Politics and Political Economy from the University of Port Elizabeth (UPE), now Nelson Mandela University.
** The views expressed do not necessarily reflect the views of IOL or Independent Media.