Addis Ababa: Secretary-General of the African Continental Free Trade Area (AfCFTA), Wamkele Mene disclosed that efforts have been redoubled to ensure the establishment of trade aggregating companies to boost intra-Africa trade.
According to Ethiopian News Agency, the secretary-general emphasized that advancing the implementation of the African Continental Free Trade Area has a strategic importance to the continent, adding that ‘it is more than just an economic necessity.’ The 57th session of the Economic Commission for Africa (ECA) Conference of African Ministers of Finance, Planning, and Economic Development commenced today in Addis Ababa.
Speaking at the conference, Mene said we convene at a time when multilateralism, clearly is under attack and intensified weaponization of trade policy. Stressing the need for advancing the implementation of AfCFTA, the secretary-general stated that Africa should develop a pathway to navigate this unprecedented challenge.
“We convene at a time of unprecedented challenges to multilateralism,” he stated. “We are witnessing the intensified weaponization of trade policy, a rise in economic nationalism, and increasing investment protectionism.”
He also highlighted the critical role of the private sector in the successful implementation of the AfCFTA. “Our private sector is essential and serves as a co-implementer of the AfCFTA,” he noted. “This is why we are redoubling our efforts, in collaboration with our partners, to establish AfCFTA trade aggregating companies. These companies will enhance intra-African trade, particularly by including smallholder farmers and small and medium-sized enterprises (SMEs).”
Mene emphasized that trade aggregating companies are crucial for unlocking commercially meaningful trade opportunities. Thus far, in our effort to support trade, implement trade aggregating companies, along with Afreximbank, we have committed 750 million USD to support this initiative to ensure smooth trade transit and greater participation of SMEs, smallholder farmers, in Africa’s implementation of the AfCFTA.
Through these efforts, the AfCFTA seeks to expand intra-African trade and strengthen the private sector’s role in economic development. According to him, some 19 countries are today trading under the rules and references of AfCFTA, while 48 states have ratified the agreement to establishing it.