By Gabs Mia
DR Congo: The African Continental Free Trade Area (AfCFTA) is a significant step towards economic integration and unity in Africa, as envisioned by leaders in 1963. Wamkele Mene, the Secretary General of AfCFTA, emphasized the importance of this agreement for regional exploration, industrialization, and economic transformation during a panel discussion at the AfreximBank Annual Meeting Taking place in Nasau, the Bahamas.
The process involves building a legal framework, similar to the European Union’s approach, and securing political commitment. With 47 African Union members ratifying the agreement, there’s a strong political will to eliminate barriers to intra-African trade and investment.
“The starting point was to build a legal framework for the rules underpinning the integration we seek,” Wamkele noted
Challenges remain, such as varying local content rules and infrastructure issues, but solutions like a single transit guarantee scheme are being developed. This scheme, underwritten by Afrieximbank with $100 million, aims to ensure smooth movement of goods across the continent.
The potential impact of a well-implemented AfCFTA is substantial. According to the World Bank, it could lift 70 million people out of poverty, improve incomes for 68 million others, and contribute an additional $450 billion to Africa’s combined GDP by 2025. The key is to create commercially meaningful opportunities for small enterprises, women, and young people, ensuring an inclusive economic integration process.
“Inclusion is imperative,” Wamnele concluded. “As we address this, we will see the tangible benefits of economic integration, realizing the dream of a united, prosperous Africa.”
