This archive report was first published on 8 July 2019.
On July 7, 2019, African Heads of State gathered in Niamey, Niger, to launch the second phase of the African Continental Free Trade Area (AfCFTA) agreement. The historic operationalisation of the AfCFTA marked a significant milestone in the journey towards economic integration in Africa.
The African Union expects the single market to boost trade among the 52 out of 55 member states who have signed the pact. The leaders are rooting for the removal of intra-trade fragmentation among African countries to attract small- and large-scale investments.
According to the African Union, the free trade pact will rally all African people to promote regional economic growth. The leaders are banking on the AfCFTA to create customs unions that will attract investors, boosting the already existing eight regional economic blocs, half of which have customs unions.
As of July 7, 2019, 27 countries had deposited their AfCFTA ratification to the AU Commission. The Chairperson of the African Union Commission, Faki, announced that July 7 would be officially celebrated as the Day of African Integration in commemoration of the historic operationalisation of the AfCFTA.
Kenya, a member of the COMESA economic bloc, is looking to leverage manufacturing opportunities for intra-Africa trade. Successful implementation is expected to increase spending to $6.7 trillion by 2030. Once fully operational, the free trade accord is projected to boost the level of intra-Africa trade by more than 52 percent by 2022, according to the UN Economic Commission for Africa.
