The global economic landscape is undergoing a profound transformation, with rising protectionism and trade barriers reshaping traditional markets. Speaking at the World Economic Forum in Davos, AfCFTA Secretary-General Wamkele Mene emphasized that while major economies like the U.S. adopt isolationist policies, Africa is charting a different course—toward integration, cooperation, and a single continental market. Mene’s message was clear: Africa is ready to compete, partner, and grow in the evolving global economy.
Highlighting the continent’s progress, Mene revealed that intra-African trade reached $220 billion in 2023, signaling growing momentum in regional commerce. Nigeria, Africa’s largest economy, emerged as the top export destination in 2024 and became the first country to ratify the AfCFTA Protocol on Digital Trade. These milestones underscore Nigeria’s leadership in shaping Africa’s digital future and reinforce the continent’s strategic role in global trade.
Mene acknowledged that declining development aid presents short-term challenges for African economies. However, he stressed that long-term growth depends on stronger partnerships between governments, the private sector, and development finance institutions. This collaborative model, he explained, can unlock the scale of finance needed for industrialization, sustainable development, and resilience in the face of global uncertainties.
Despite optimism, Mene was candid about Africa’s structural challenges, including fragmented markets, high infrastructure costs, and barriers to the free movement of goods and people. He warned that without accelerated market integration, Africa risks leaving its potential untapped. AfCFTA is addressing this by reducing trade barriers, fostering collective negotiation power, and creating a legal framework to enhance regional cooperation—mirroring models like the European Union.
Digital trade and youth empowerment were also central to the discussion. Mene highlighted partnerships with tech giants like Google to expand digital literacy programs, preparing young Africans for the continent’s emerging digital economy. With its youthful population, growing digital ecosystem, and natural resources, Africa is poised for a critical moment in global trade, leveraging AfCFTA to secure a stronger voice in shaping the new world economy.
source: The sun