Former Chief of Naval Staff, Vice Admiral Issah Yakubu (Rtd.), has raised concern over the growing economic burden of piracy and maritime insecurity in West Africa, estimating that the phenomenon costs regional economies and the international community over $500 million annually.
He made the remarks at the 50th Republic Anniversary Lecture 2026 held in Accra on Wednesday, July 1, on the theme “From Sahel to the Gulf: Violent Extremism and Maritime Insecurity in West Africa.”
According to him, the true cost of piracy in the Gulf of Guinea extends far beyond stolen cargo and ransom payments, which he described as relatively small compared with wider economic losses.
“The economic cost of maritime insecurity here is equally alarming. Piracy off the West African coast is estimated to cost regional economies and the international community over 500 million dollars each year.
“It is not mainly the value of stolen cargo or paid ransoms; those are actually relatively small. Rather, it is the cost of countermeasures: increased insurance premiums, hiring private security or naval escorts and coast guards,” he said.
Vice Admiral Yakubu explained that significant spending on counter-piracy measures has become the dominant cost driver, with shipping companies and governments forced to invest heavily in protection and risk mitigation.
He noted that analysis suggests that for every one dollar lost to piracy, shipping lines and Gulf of Guinea governments collectively spend about 524 dollars on security and preventive measures.
“These costs are passed to the consumer,” he said, adding that the financial strain is becoming unsustainable for the region.
“In essence, the criminals extort a few million dollars a year, but the region as a whole bleeds hundreds of millions in trying to guard against them. This is an unsustainable drain on our economies” he said.
