It is interesting to note that laying the groundwork for the operation of the African Continental Free Trade Area (AfCFTA) is a decisive step, as it plays a paramount role in enhancing economic integration and establishing sustainable peace in the Horn of Africa and beyond.
The African Continental Free Trade Area (AfCFTA) is one of the flagship projects of Agenda 2063, Africa’s development framework. The AfCFTA was approved by the 18th ordinary session of the Assembly of Heads of State and Government, held in Addis Ababa, Ethiopia, in January 2012, which adopted the decision to establish an African Continental Free Trade Area and the Action Plan for Boosting Intra-African Trade as a key initiative whose implementation would promote socio-economic growth and comprehensive development. The AfCFTA aims at accelerating intra-African trade and boosting Africa’s trading position in the global market by strengthening Africa’s common voice and policy space in global trade negotiations.
As Ethiopia possesses tremendous responsibility to ensure long lasting peace and stability as well as deepening economic integration in the Horn of Africa region, the full implementation of AfCFTA would accelerate efforts that endeavor to fast-track economic interconnectedness in the near future.
In point of fact, Ethiopia has been undertaking a wide spectrum of measures with a focus on speeding up the effectuation of AfCFTA on the grounds that its involvement to the overall economic growth of the country brings about the intended target at the earliest time possible.
Apart from playing such a cardinal role, AfCFTA would widen market destinations and related market possibilities and prospects for trade at some time in the future.
It is widely known that Ethiopia’s strong political drive to the implementation of AfCFTA paves the way for the growth of the country’s economy and the region. It has been acknowledged that Ethiopia has been carrying out prominent economic policy measures in various points in time.
It is clear that AfCFTA opens the way for transforming the trade landscape in Africa and makes a unified market in the African continent to exist in the shortest possible time. Similarly, the agreement is a significant column for the economic, social and political growth of the continent.
The pact will metamorphose Africa’s small and fragmented markets into a single economic powerhouse of over 1.4 billion people, according to Ethiopia’s President Taye Atske Selassie.
Speaking at the 15th Meeting of the AfCFTA Council of Ministers held at the African Union, President Taye emphasized that the agreement serves as a force multiplier, driving economic integration and enhancing connectivity across the continent for accelerated growth.
He highlighted that the AfCFTA aligns with the African Union’s Agenda 2063 and the UN’s Sustainable Development Goals (SDGs), providing a framework to enhance food security, promote gender equality, and reduce poverty. Ethiopia’s recent economic reforms, including a shift to a market-based exchange rate, the removal of import restrictions, and new directives allowing foreign investors in key sectors, are in line with the broader goals of the AfCFTA.
The president also mentioned Ethiopia’s submission of its tariff offer in trade goods to the AfCFTA Secretariat for verification, as the country works towards finalizing the remaining implementation processes. A national committee has been established to coordinate the domestication of the agreement, and existing laws and regulations are being revised to create an environment conducive for its full implementation.
Furthermore, President Taye stressed the importance of cooperation to harness Africa’s critical minerals and strategic resources, calling for a focus on value-added, green, smart, and digitized economic growth to propel the continent forward.
It is true that AfCFTA is a an important instrument for fostering investment, creating more jobs, stimulating economic growth, and expanding value added chains in the length and breadth of the continent of Africa. In actual fact, implementing the pact is a fundamental reference point toward economic engagements.
In the present circumstances, with a view to taking the agreement to the next level of accomplishment and new frontiers, the government has been leaving no stone unturned to effectively implement AfCFTA. In a related move, the government, in close collaboration with stakeholders, has been working with the intention of executing the pact and advancing Africa’s economic integration.
As far as this, Ethiopia has been providing a solid foundation for the actual implementation of the pact and augmenting sustainable economic growth.
As the future is rosy for the continent of Africa and beyond, all nations of the continent should work around the clock with the purpose of putting in place the agreement just around the corner.
Unless all pertinent bodies stand in unison to smooth the path of the attainment of the AfCFTA, bringing about the desired goal will be tantamount to chasing a wild goose.
It is undeniable that the African continent should stand shoulder to shoulder for the full realization of the agreement. As it is time for Africa to stand in unison with the purpose of taking the continent to new heights, every Tom, Dick, and Harry devoid of batting an eye should lean over backwards to give rise to the AfCFTA.
There is no doubt that as quite a lot of nations in the continent have been showing interest in the agreement with the intention of forging alliances that leverage the AfCFTA agenda and accelerate the effectuation, everyone should go to stand by the side of all pertinent bodies.
Ethiopia is well positioned to fully benefit from the African Continental Free Trade Area agreement, the participants of the 19th Meeting of the Committee of Senior Trade Officials (STOs) revealed.
The participants of the 19th Meeting of the Committee of Senior Trade Officials of the AfCFTA which was held in Addis Ababa recently visited the Ethiopian Export Trade Permanent Exhibition Center.
Following the visit, Onesime Niyukuri Chief Negotiator for the AfCFTA from Burundi told ENA that the center demonstrates how Ethiopia started the process a long time ago.
“We have been introduced to different sectors including agriculture, processing, industrial development and we have tested the coffee that is produced, processed, and manufactured in Ethiopia.”
Noting that he enjoyed the tour and learned a lot about Ethiopia’s potential, the chief negotiator said having a center like this is very important that would attract investors.
Everyone can see how Ethiopia is progressing and trade service is evolving, he said, adding Ethiopia is well positioned to benefit from AfCFTA.
“If you look at it in terms of air transport, I think Ethiopia is the gateway for all the African countries and also for other countries across the world,” Niyukuri affirmed.
Similarly, the AfCFTA negotiator from Liberia, Richard Prait, noted that the export exhibition center shows the huge potential of Ethiopia. “I think Ethiopia has huge potential to utilize the African Continental Free Trade Area framework and to export its products to other markets,” he stated.
Stressing the need to nurture the culture of integration as a continent, he added it is important that we utilize the market by showing that we get ourselves integrated.
The federal government of Ethiopia is devoted to boosting both local and foreign businesses in joining overseas markets making use of AfCFTA.
The AfCFTA outline would make available significant profits for Ethiopia Africa paving the way for extending their businesses beyond the Horn of Africa region.
It is obvious that Ethiopia’s participation in the global economic exchange is anticipated to create opportunities worth billions of dollars.
The encyclopedic implementation of the AfCFTA agreement is a landmark milestone toward economic integration and shaping a thought-provoking possibility for restructuring the continent’s trade.
Ethiopia is finalizing its national strategy to begin commodity trading under the African Continental Free Trade Area (AfCFTA) agreements, announced the State Minister of Trade and Regional Integration.
In her opening remarks at AfCFTA’s 15th Senior Trade Officials meeting recently, Trade and Regional Integration State Minister Yasmin Wohabrebi highlighted Ethiopia’s completion of a strategy to maximize AfCFTA benefits within the African market. “The strategy will guide Ethiopia’s efforts to effectively leverage the opportunities,” she noted.
Full implementation of the AfCFTA agreement is a key milestone toward economic integration and presents a transformative opportunity for reshaping African trade, she emphasized.
Recent reforms in Ethiopia, including liberalization of the telecom, financial, and foreign exchange sectors, now permit foreign investors in previously restricted import and export services. These reforms represent concrete steps toward strengthening our economy and enhancing trade integration.
BY ADDISALEM MULAT
THE ETHIOPIAN HERALD THURSDAY 21 NOVEMBER 2024
