African countries have been urged by President Nana Addo Dankwa Akufo-Addo to use the Africa Continental Free Trade Area (AfCFTA) to boost commerce between themselves in order to safeguard the development of their individual countries.
According to him, the trade area would enhance intra-African commerce by $35 billion annually while lowering foreign imports by $10 billion.
Additionally, it would increase the chances for small enterprises to expand, which might help 30 million people escape extreme poverty.
Yesterday in Accra, during the 60th anniversary celebration of the founding of the AU, President Akufo-Addo delivered a speech at the 7th African Leadership Forum.
Olusegun Obasanjo, a former president of Nigeria, launched the non-profit forum in 1988 with the goal of enhancing leadership standards on the continent and developing the leaders of tomorrow.
The conference's topic was "Promoting intra-Africa trade to unlock agricultural potential in Africa," and it was organised by the AfCFTA and the NGO UONGOZI Institute.
Leaders from various organisations across the continent attended, including Dr. Jakaya Kikwete, the patron of the ALF and a former president of Tanzania, as well as two former presidents of Nigeria, Goodluck Jonathan and Olusegun Obasanjo, and Hailemariam Desalegn, a former prime minister of Ethiopia.
Trade diversification
A successful AfCFTA, according to President Akufo-Addo, would imply that Africa's industrial endeavours would be more diverse and less dependent on extractive commodities.
With 50% of the population employed in agriculture, he said, the continent has enormous potential for wealth. He claimed that this sector could boost intra-African commerce, fulfil local demand, boost GDP, and generate employment.
In order to actualize this, he continued, "we must first shift from the exportation of raw products to the value addition of our produce."
President Akufo-Addo expressed his gratitude for the growing number of African nations switching from importing completed goods to exporting them, noting that this was a significant economic benefit for African women, who made up the bulk of the agricultural labour force.
The President stated, "Unleashing Africa's agricultural potential will assist in mobilising the necessary amount of financing needed to help develop the continent."
Infrastructure
According to President Akufo-Addo, Africa needs between $130 billion and $170 billion a year to close the infrastructure gap and achieve sustainable growth of at least 5% each year.
However, he asserted that the AFCFTA had prepared the ground for Africa's industrialization and transformation agenda and that the respective governments and companies now needed to demonstrate courageous leadership.
"We need a stronger sense of purpose to ensure a robust intra-African trade to drive agricultural growth, economic diversification, and the much-needed industrialization of the continent," the President said. "We need coherent and complementary strategic actions by governments and businesses, the right mix of policies and strategies for exports, value addition to raw commodities, and a greater sense of purpose."
speedier growth
Wamkele Mene, the secretary-general of the AfCFTA, added that it was critical to boost agricultural commerce since it would benefit rural communities and smallholder farmers as well as provide job possibilities for the young.
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