Afreximbank Urges Nigeria, Others to Boost Intra-African Trade to Shield Economy from Global Shocks
The African Export-Import Bank (Afreximbank) has called on Nigeria and other African countries to urgently deepen intra-African trade as a strategy to strengthen economic resilience amid rising global uncertainties. The bank warned that continued reliance on external markets exposes African economies to unpredictable shocks from global price swings and geopolitical tensions.
In its latest Trade and Development Finance Brief titled “Africa’s Trade and Investment Landscape,” Afreximbank noted that Africa’s trade structure is still heavily dependent on exporting raw materials such as oil, gas, agricultural produce, and minerals, while importing largely manufactured goods and machinery. It described this imbalance as a long-standing structural weakness limiting the continent’s industrial growth.
The report stressed that this trade pattern makes many African economies vulnerable to external disruptions, including commodity price volatility and global supply chain breakdowns. It added that strengthening regional trade under the African Continental Free Trade Area (AfCFTA) remains essential to diversifying exports and building stronger value chains across the continent.
Afreximbank further highlighted the need for massive investment in trade-supporting infrastructure such as energy, transport systems, ports, communications, and logistics networks. According to the report, improving these areas would significantly reduce the cost of doing business, boost cross-border trade, and make African economies more attractive to investors.
The bank also pointed to the importance of regulatory reforms, financial access for small and medium-sized enterprises, and digital financial innovation to deepen integration. Managing Director of Research at Afreximbank, Dr. Yemi Kale, emphasized that development finance institutions are increasingly stepping in to support trade expansion, with Afreximbank playing a central role in financing intra-African trade and advancing economic integration across the continent.
source: The Guardian