World
AfCFTA Will Double Intra-Africa Trade Flows—Anatogu
By Adedapo Adesanya
The African Continental Free Trade Area (AfCFTA) will help to deepen economic integration in the continent, says the Senior Special Assistant to the President on Public Sector Matters and Secretary of the National Action Committee on AfCFTA, Mr Francis Anatogu, as part of a continued effort to drive implementation.
Mr Anatogu also said that AfCFTA’s goals will also improve and expand intra-Africa trade, enable rule-based engagement for facilitating dispute resolution and addressing injurious trade practices.
He made this known on Monday at a leadership stakeholders’ consultation on the theme ‘Defining the Trade in Service Strategy for AfCFTA’.
Mr Anatogu said the agreement will also serve as the foundation for the establishment of a continental Customs Union.
He expressed optimism that if effectively implemented, the AfCFTA will result in the elimination of tariffs on 90 per cent of tariff lines, adding that product-specific rules of origin will help to grow African content.
Mr Anatogu also stated that the pact would assist in the harmonisation of policies, regulations and standards, as well as lead to customs co-operation and mutual administrative assistance.
The AfCFTA, according to him will double intra-Africa trade flows, currently at 15 per cent as well as double Africa’s share of world trade from three per cent to six per cent over the next 10 years.
In a similar vein, Professor John Aremu said at the forum that while it is right for Nigeria to ratify the agreement, the constitution provides that such treaties entered into can only become beneficial to the nation if it has a place inside the Nigerian law to guarantee enforceability.
Mr Aremu, who is a Professor of International Economic Relations at Covenant University, urged stakeholders to facilitate the domestication of AfCFTA as enshrined in the constitution, in order to ensure utmost benefits accrues to Nigeria.
The academic who doubles as a consultant of ECOWAS Common Investment Market stated this during his presentation titled “Conceptual Issues in Africa Integration Emergence of AfCFTA, and Its Protocol”.
He said, “If AfCFTA cannot be domesticated into the national law, it cannot be deployed in defence of cases involving their violations before courts of law in the country, neither can they be used for the advocacy of rights within the country.
“Further to this, violators of AfCFTA provisions, whether they be institutions, companies or individuals cannot be held accountable, since the AfCFTA treaty has not been domesticated in the country”.
This he said can be supported by section 12(1) of the constitution of the Federal Republic of Nigeria, 1999, about Implementation of treaties which states that “no treaty between the federation and another country shall have the force of the law except to the extent to which any such treaty has been enacted into law by the National Assembly”.
He further said failure or lateness for Nigeria to domesticate AfCFTA will cause unreasonable hardship on other AU member states that intend to have commercial relationships with the country under the continental economic integration.
This he said will further discourage reading and affect the inflow of investments into Nigeria and also stunt the growth of the law in the country.
He also advocated the need for an upgrade of the overall quality of the nation’s physical infrastructure like roads, rail, port facilities, telecommunications, which are prerequisites to profitable intra-African trade
The professor also called for the use of an online information portal, single windows, digital documentation, Pan African Payment and Settlement System (PAPSS), electronic Certificates and signatures and automated processing of trade declaration which would help simplify, streamline and expedite trade-related procedures at the borders.
For Nigeria to fully benefit from AfCFTA, Professor Aremu said Nigeria must reduce the infrastructural deficit by building on ongoing efforts and also reduce other critical NBTs such as customs and other administrative requirements that directly affect the capacity of economies to trade merchandise within and outside their borders.
Other suggestions from Professor Aremu include improving trade facilitation commitments of the country as regards categories A, B, and C with WTO/TFA as a priority area for reforms while also ensuring a strong institutional and governance framework in the implementation of AfCFTA.
On commencement of AfCFTA, the Don said beyond boosting Intra-Africa trade, the larger market offered by AfCFTA is expected to trigger investment, leading to high productivity and addition to the continent’s value chain, providing more and better jobs and further enlarging the continental market.
Additionally, he said despite the high level of political momentum around AfCFTA, the ultimate success depends on African states not merely ratifying the treaty but repositioning themselves towards complying with demands in the AfCFTA.
He said while other continents have increased intra- trade among them, Africa still lags behind in trading within itself.
“Intra-Africa trade is about 12 per cent, compared to North America Free Trade Area (NAFTA) of 40 per cent and 63 per cent between economies of Western Europe and 30 per cent for ASEAN.
“There can never be any good reason why it is easier for us to trade with Asia, Europe and America, rather than with fellow Africans” Professor Aremu quoted former Ghanaian President, John Mahama as saying.
The academic said African countries can improve intra-trade among themselves by adopting trade diversion, which entails abandoning the lowest cost producer like China and importing the same product from a member of the union.
Mr Aremu also said the policy of trade creation where the country with comparative advantage is allowed to produce a particular product while others patronize it can be employed.
“By bringing down the barriers to trade between Nigeria and Egypt, the imports from Egypt will become cheaper than the ones produced by companies within Nigeria and those imported from China, since import duties remain on China, thereby creating more trade from Egypt,” he narrated.
Mr Aremu lamented over Africa’s contribution to global trade volume and blamed the lack of proper renegotiation of global agreements to integrate the continent and increase her participation in the global trade.
According to him, “Africa accounts for about 3 per cent of the global trade despite Doha Development Agenda (DDA) of the WTO, AGOA of USA and ECAs of EU; all of which have not been negotiated to enable Africa’s successful integration into the global economy despite promises”.
Speaking further on the African situation, he said: “Africa accounts for just 2.4 per cent of global GDP; has approximately 30 per cent of the earth’s remaining mineral resources; largest reserve of precious metals, over 40 per cent of gold reserves, over 60 per cent of cobalt and 90 per cent of platinum reserves, yet Africa is the world’s poorest and underdeveloped”.
By Kestér Kenn Klomegâh
After the expiration of bilateral agreement on trade, the US Congress as well as African leaders, highly recognizing its significance, has been pursuing the extension of the African Growth and Opportunity Act (AGOA). The agreement, which allows duty-free access to American markets for African exporters, expired on September 30, 2025.
The US Congress is advancing a bill to revive and extend AGOA, but South Africa’s continued inclusion remains uncertain. The trade pact still has strong bipartisan support, with the House Ways and Means Committee approving it 37-3. However, US Trade Representative, Jamieson Greer, raised concerns about South Africa, citing tariffs and non-tariff barriers, and said the administration could consider excluding the country.
This threat puts at risk the duty-free access that has significantly benefited South African automotive, agricultural, and wine exports. The debate highlights how trade policy is becoming entangled with broader diplomatic tensions, casting uncertainty over a key pillar of US-Africa economic relations.
Nevertheless, South Africa continues to lobby for inclusion. South Africa trade summary records show that the US goods and services trade with South Africa estimated at $26.2 billion in 2024. The US and South Africa signed a Trade and Investment Framework Agreement (TIFA) as far back as in 2012.
The duty-free access for nearly 40 African countries has boosted development and fostered more equitable and sustainable growth in Africa. By design AGOA is a useful mechanism for improving accessibility to trade competitiveness, connectivity, and productivity. During these past 25 years, AGOA has been the cornerstone of US economic engagement with the countries of sub-Saharan Africa.
Key features and benefits of AGOA:
It’s worth reiterating here that during these past several years, AGOA has been the cornerstone of US economic engagement with the countries of sub-Saharan Africa. In this case, as AGOA is closely working with the African Continental Free Trade Area (AfCFTA) Secretariat and with the African Union (AU), trade professionals could primarily leverage various economic sectors and unwaveringly act as bridges between the United States and Africa.
* Duty-free Access: AGOA allows eligible products from sub-Saharan African countries to enter the US market without paying tariffs.
* Promotion of Economic Growth: The program encourages economic growth by providing incentives for African countries to open their economies and build free markets.
* Encouraging Economic Reforms: AGOA encourages economic and political reforms in eligible countries, including the rule of law and market-oriented policies.
* Increased Trade and Investment: The program aims to strengthen trade and investment ties between the United States and sub-Saharan Africa.
With the changing times, Africa is also building its muscles towards a new direction since the introduction of the African Continental Free Trade Area (AfCFTA), which was officially launched in July 2019.
In practical terms, trading under the AfCFTA commenced in January 2021. And the United States has prioritized the AfCFTA as one mechanism through which to strengthen its long-term relations with the continent. In the context of the crucial geopolitical changes, African leaders, corporate executives, and the entire business community are optimistic over the extension of AGOA, for mutually beneficial trade partnerships with the United States.
Worthy to say that AGOA, to a considerable degree, as a significant trade policy has played a crucial role in promoting economic growth and development in sub-Saharan Africa.
By Kestér Kenn Klomegâh
Africa stands at the cusp of a transformative digital revolution. With the expansion of mobile connectivity, internet penetration, digital platforms, and financial technology, the continent’s digital economy is poised to become a significant driver of sustainable development, intra-Africa trade, job creation, and economic inclusion.
The African Union’s Agenda 2063, particularly Aspiration 1 (a prosperous Africa based on inclusive growth and sustainable development), highlights the importance of leveraging technology and innovation. The implementation of the African Continental Free Trade Area (AfCFTA) has opened a new chapter in market integration, creating opportunities to unlock the full potential of the digital economy across all sectors.
Despite remarkable progress, challenges persist. These include limited digital infrastructure, disparities in digital literacy, fragmented regulatory frameworks, inadequate access to financing for tech-based enterprises, and gender gaps in digital participation. Moreover, Africa must assert its digital sovereignty, build local data ecosystems, and secure cyber-infrastructure to thrive in a rapidly changing global digital landscape.
Against this backdrop, the 16th African Union Private Sector Forum provides a timely platform to explore and shape actionable strategies for harnessing Africa’s digital economy to accelerate intra-Africa trade and sustainable development.
The 16th High-Level AU Private Sector forum is set to take place in Djibouti, from the 14 to 16 December 2025, under the theme “Harnessing Africa’s Digital Economy and Innovation for Accelerating Intra-Africa Trade and Sustainable Development”
The three-day Forum will feature high-level plenaries, expert panels, breakout sessions, and networking opportunities. Each day will spotlight a core pillar of Africa’s digital transformation journey.
Day 1: Digital Economy and Trade Integration in Africa
Focus: Leveraging digital platforms and technologies to enhance trade integration and competitiveness under AfCFTA.
Day 2: Innovation, Fintech, and the Future of African Economies
Focus: Driving economic inclusion through fintech, innovation ecosystems, and youth entrepreneurship.
Day 3: Building Policy, Regulatory Frameworks, and Partnerships for Digital Growth
Focus: Creating an enabling environment for digital innovation and infrastructure through effective policy, governance, and partnerships.
To foster strategic dialogue and action-oriented collaboration among key stakeholders in Africa’s digital ecosystem, with the goal of leveraging digital economy and innovation to boost intra-Africa trade, accelerate economic transformation, and support inclusive, sustainable development.
* Promote Digital Trade: Identify mechanisms and policy actions to enable seamless cross-border digital commerce and integration under AfCFTA.
* Foster Innovation and Fintech: Advance inclusive fintech ecosystems and support innovation-driven entrepreneurship, especially among youth and women.
* Policy and Regulatory Harmonization: Build consensus on regional and continental digital regulatory frameworks to foster trust, security, and interoperability.
* Encourage Investment and Public-Private Partnerships: Strengthen collaboration between governments, private sector, and development partners to invest in digital infrastructure, R&D, and skills development.
* Advance Digital Inclusion and Sustainability: Ensure that digital transformation contributes to environmental sustainability and the empowerment of marginalized communities.
The AU Private Sector Forum has held several forums, with key recommendations. These recommendations provide valuable insights into the challenges and opportunities facing the African private sector and offer guidance for policymakers on how to support its growth and development.
By Kestér Kenn Klomegâh
Lukoil, Russia’s energy giant, has seriously lost its grounds across Africa, due to United States sanctions. Sanctions have complicated the company’s potential continuity in operating its largest oil field projects, grappling its investment particularly in Republic of Ghana, Democratic Republic of Congo, and Federal Republic of Nigeria.
Reports indicated the sanctions are further dismantling most of Lukoil’s operations, causing significant staff layoffs in its offices worldwide. For instance, Lukoil’s significant upstream operations in the Middle East include a 75% stake in Iraq’s West Qurna 2 oilfield and a 60% stake in Iraq’s Block 10 development. In Egypt, the company holds stakes in various oilfields alongside local partners.
Lukoil has until December 13, 2025, to negotiate the sale of most of its international assets, including those in Asia, Africa and Latin America. It has already terminated several important agreements that were signed with international partners due to difficulties in circumventing the sanctions.
Reports said calculated efforts to diversify exploration business relations is turning extremely complex, and current at the cross-roads, Lukoil will have to ultimately give up existing contracts and agreements it had signed with external countries.
Lukoil’s website reports also pointed to reasons for abandoning oil and gas exploration and drilling project that it began in Sierra Leone. According to those reports, Lukoil could withdraw from almost all of the projects in West Africa.
In addition to geopolitical sanctions, technical and geographical hitches, Lukoil noted on its website, an additional obstacles that “the African leadership and government policies always pose serious problems to operations in the region.” Similarly, the Kremlin-controlled Rosneft abandoned its interest in the southern Africa oil pipeline construction, negatively impacted on Angola, Mozambique, South Africa and Zimbabwe.
United States sanctions has hit Lukoil, one of the Russia’s biggest oil companies, like many other Russian companies, that has had a long history shuttling forth and back with declaration of business intentions or mere interests in tapping into oil and gas resources in Africa.
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