African Free Trade Agreement 2020

Posted on: April 8th, 2021

It goes without saying that East Africa will continue to face a number of challenges, including one shared by all countries on the continent: the need to quickly finalize tariff offers and ongoing negotiations on rules of origin, as well as timetables for the provision of services. This common challenge will be particularly difficult, as negotiations in areas such as services and Phase II, such as competition and protection ownership measures, will inevitably be quite complex and highly technical. In order to facilitate the implementation of the free trade area, the following institutions have been set up. As a result of the Phase II negotiations, additional committees may be set up through minutes. [38] Agenda 2063 aims to bring Africa together in a variety of ways. However, at an AU summit in Niger, the focus will be on a free trade agreement, with little time for other issues. Electronic payments are also working better and better. This contributes to the efficiency and therefore to the competitiveness of trade in Africa. “States have realized that they need AfCFTA more than ever,” Sebahizi said. He mentioned countries that do not have direct access to the sea and were virtually cut off from world trade during the coronavirus blockade in the first half of the year due to border closures. Sebahizi believes the situation will create “the spirit of greater cooperation.” On July 21, 2018, five other nations signed the agreement, including South Africa. At the time, the Nigerian government stressed that its non-participation was a delay, not a withdrawal, and promised to sign the agreement quickly. [57] As the Minister of Foreign Affairs had previously pointed out, the Nigerian government intended to continue its discussions with local businesses to ensure the purchase of the agreement by the private sector.

[58] He said that Africa`s prosperity depends largely on intra-African trade. “Increased trade is the safest way to deepen regional integration in Africa. In 1963, the Organization of African Unity (OAU) was founded by the independent states of Africa. The aim of the OAU was to promote cooperation between African states. The 1980 Lagos Action Plan was adopted by the organization. The plan proposed that Africa minimize its dependence on the West by encouraging intra-African trade.