Browsing: AfCTA

The agreement reaffirms the US commitment to elevating a strong private sector voice in AfCFTA implementation. Through exploring these challenges…

A recent index report showed that Tanzania’s agro sector is mechanizing rapidly on the back drop of value addition mini-factories, the revolution is not unique to Tanzania, it is happening continent wide and North Africa is leading.

Evidence to this fact lies in the pages of the Africa Industrialization Index (AII) report that show more than 35 of Africa’s 52 countries have become more industrialized over the span of the last decade.

The multi-stakeholder report, prepared by the African Development Bank, the African Union and the United Nations Industrial Development Organization (UNIDO), attests to an ongoing industrial revolution in Africa.

The Africa Industrialization Index (AII) uses 19 indicators to rate each country’s level of industrialization ranging from performance of its manufacturing sector, capital, labor to a country’s business environment, its infrastructure and even its entire macroeconomic status.

The transformative effects of DeFi on advancing financial inclusion, assisting African trade, and strengthening Africa’s economy match the technology with the global sustainability agenda and the UN Sustainable Development Goals. As a result, the industry is an attractive investment for investors, asset managers, and pension funds seeking to make their portfolios more sustainable while directly addressing social implications.

UNCTAD argued that in the fourth quarter of 2021, all major trading economies saw imports and exports rise well above pre-pandemic levels of 2019.  Moreover, the report pointed out that trade in goods increased more strongly in developing countries than in developed ones. 

It is essential to realize that Africa has more to tap into the intra-African trade, standing at around $21.9 billion, according to UNCTAD. 

Further, exports of developing countries were about 30 per cent higher than during the same period in 2020, compared with 15 per cent for wealthier nations. 

The UNCTAD report argued that growth spiked in commodity-exporting regions as commodity prices increased. 

Protectionism and non-tariff barriers persist between the two countries countries have varying processes which seriously delays the movement of goods…

The AfCFTA gives Africa an opportunity to confront its trade and economic development challenges such as market fragmentation, small-scale national economies, a narrow export base, caused by shallow manufacturing capacity, and underdeveloped industrial regional value chains.

AfCFTA is one of the tools for making a fundamental structural transformation for Africa’s economy and placing it on the path of long-term industrial development. AfCFTA will also strengthen the continent’s bargaining position when engaging in trade negotiations with economic powers such as China and the European Union. This implies that trade will become more favourable for African products, and now when Africa partners with the likes of China and other countries, focus should be on capital supply as well as industrialisation.

The cornerstone of a successful trade is the efficient distribution of goods from the source to all points of sale. As such, cultivating logistics and distribution channels is necessary for the successful implementation of the African Continental Free Trade Area (AfCFTA). 

The continent is made up of over 50 different countries whose levels of development vary vastly. Each country needs to seek its solutions locally, but governments need to come together to improve intra-African trade and cross-border co-operation.

 AfCFTA will undoubtedly be a breakthrough in reducing the cost of shipping in Africa and improving efficiency. The amount of time that will be spent on customs clearance is set to drop drastically.  Currently, it takes more than a week at one-border stops in some countries. 

The African Union agenda 2063 is on course. After some delays due to covid, the African continental free trade area…

Africa’s fashion industry is a potential gold mine with the capacity to grow into a billion dollar industry. The fashion…

Ten African heads of state and government, as well as the president of the African Development Bank, were handed awards…