His Excellency Hailemariam Desalegn Boshe, Board Chair of TradeMark Africa and former Prime Minister of Ethiopia, has underscored the importance of fostering intra-African trade, strengthening regional value chains, and enhancing Africa’s global competitiveness.
He stated that in a dynamic world shaped by shifting economic landscapes, Africa stands at a pivotal moment in its integration drive.
He noted that between 2017 and 2023, intra-African trade surged by 27%, increasing from $140 billion to $190 billion.
This growth the TradeMark Africa Board Chairman noted signals a positive trend in regional economic integration, as more African goods circulate within the continent, benefiting local businesses and reinforcing trade networks.
H.E. Boshe was speaking at a public lecture on the theme African Continental Free Trade Area (AfCFTA) as a catalyst for Agenda 2063, Seizing Opportunities in a Changing World.”
He further disclosed that projections indicate that intra-African trade will surpass the $200 billion mark, demonstrating the tangible impact of the AfCFTA in reducing trade barriers and fostering collaboration among African nations.
Globally, Africa’s trade momentum continues to build, with the World Trade Organization (WTO) forecasting the continent’s exports to expand at a rate of 5.3% in 2024, up from 3.1% in 2023.
This upward trajectory reinforces Africa’s potential to become a formidable player in global commerce, provided the right trade and industrial policies are put in place.
H.E. Boshe opined that advocating for the purchase of African products should not rely solely on calls for consumer patriotism.
Instead, he stressed the need for strategic trade and industrial policies that enhance product quality, productivity capacity, and regional value chains, by ensuring that African products meet high standards and competitive price points, consumers will naturally gravitate towards locally made goods, fostering a self-sustaining economy.
He indicated that for AfCFTA to fully unlock its potential, seamless and efficient payment systems are essential, stressing that one of the major challenges businesses faces is the complexity of cross-border transactions, often exacerbated by currency exchange and regulatory hurdles.
However, significant progress is being made in this regard, H.E. Boshe noted.
The Pan-African Payment and Settlement System (PAPSS) is linking central banks across the continent, providing a direct mechanism for businesses to transact in their local currencies.
His Excellency Wamkele Mene, the Secretary-General of AfCFTA Secretariat stated that AfCFTA Secretariat committed to unlocking Africa’s trade potential, has partnered with TradeMark Africa (TMA) to accelerate the implementation of the AfCFTA.
This collaboration he maintained leverages TMA’s expertise in trade facilitation, particularly in regional integration and trade logistics.
According to His Excellency Mene the partnership with TMA strengthens efforts to streamline trade processes, enhance capacity-building, and develop digital infrastructure for a seamless trading environment.
“Through joint initiatives, we are not only contributing to the success of the AfCFTA but also laying the groundwork for a modern, technology-driven trade ecosystem, strengthening Africa’s trade infrastructure and digital trade backbone” he added.
By Jeffrey De-Graft Johnson