AfCFTA to introduce Digital Trade Protocol to further boost Africa’s economy

By
Laud Nartey
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Secretary General of the African Continental Free Trade Area (AFCFTA), Wamkele Mene
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The African Continental Free Trade Area (AfCFTA), is set to introduce a Digital Trade Protocol to further boost Africa’s economy.

This was revealed by Secretary General of the African Continental Free Trade Area (AFCFTA), Wamkele Mene today January 17  at a Wall Street Journal event dubbed ‘Trade’s Transformative Power’.

Mr Wamkele also spoke about Africa’s trade evolution.

Emphasizing AfCFTA’s role beyond a trade agreement, he highlighted its aim to catalyze economic growth through labour and innovation.

Key focuses include harmonizing customs procedures and overcoming practical challenges by introducing digital customs systems, he said, stressed that while governments set fair trade rules and create enabling environments, it is businesses that trade. 

In his remarks at the Alliance for a Green Revolution in Africa (AGRA) session at the ongoing 2024 Edition of the World Economic Forum Annual Meetings being held from Tuesday, 16th January, to Friday, 19th January,  Mr Wamkele Mene said that a major hindrance to intra-African trade is the high tariffs on agricultural products.

stated that the continent’s significant food market, with $50 billion in annual imports, is highly fragmented.

The Russia/Ukraine crisis highlighted Africa’s overreliance on grain imports, despite having capable grain-producing countries like Zimbabwe, Ethiopia, and Uganda, he explained.

“A major hindrance to intra-African trade is the high tariffs on agricultural products,” he stressed.

He stated that the AfCFTA Agreement seeks to address this by eliminating these tariffs, thereby enhancing intra-continental trade.

“Lastly, digitization presents a transformative opportunity for Africa’s agric sector, impacting the broader economy and enhancing overall efficiency and productivity,” he said.

The World Economic Forum has signed a collaboration agreement with the State of Qatar to establish a Centre for the Fourth Industrial Revolution (C4IR) in Qatar.

A Centre for the Fourth Industrial Revolution will also be established in Viet Nam.

The World Economic Forum’s Humanitarian and Resilience Investing (HRI) Initiative announced more than 50 commitments, from over 40 partners, to boost impact investment in frontier markets.

Mr Wamkele Mene further underscored the need to revamp rules and regulations to support the youth through digital leapfrogging.

The AfCFTA protocols on Digital Trade, Youth and Women, he noted, will transition from aspirations to legally binding actions to that effect.

He was speaking during one of the sessions 

The session highlighted the importance of engaging with young people, ensuring their voices are not just heard, but are instrumental in shaping Africa’s future.