Pan Africa Free Trade Agreement
Date Posted: April 11, 2021 by admin
The second priority is to complete and activate the five main operational instruments presented at the 12th Extraordinary Summit in Niamey, Niger. These are the rules of origin of the AfCFTA. The password-protected online trading portal The online reporting, monitoring and removal of non-tariff barriers; The pan-African payment and settlement system; and the African Trade Observatory. All of these instruments are essential to the implementation of afCFTA. They are expected to be fully operational by the start of trade on 1 July 2020. The 12th African Union extraordinary meeting on AfCFTA was convened to bring the new agreement into its operational phase, which was held in Niamey on 7 July 2019.   With the negotiation and ratification of the AfCFTA agreement, the AU Commission has begun a new dynamic in the process of regional integration. However, the shift from the discussions – and even the outcome of the negotiations – to concrete economic benefits is important. Criticism of the African Union`s pressure for rapid results has also been heard by government circles, for example in southern Africa.
They also draw attention to a difficulty: a timetable may have been agreed, but there is always a risk of implementation delay. It is therefore likely that integration in regions that have already committed to a more open trade policy will progress (more) dynamically. In this context, the talks in southern Africa between the South African Customs Union (SACU) and the ABC are expected to proceed well, while the process of opening up between countries that take a more protectionist approach, such as Nigeria or Zimbabwe, remains short of the way.  At the Africa Forum 2017, held in Sharm el-Sheikh, Egypt, in December 2017, there were talk of 85 million jobs that China would create by relocating to Africa in response to China`s growing wage demands: see z.B. “China proposes the creation of 85 million jobs in Africa,” Témoignages.re (Reunion), December 13, 2017, www.temoignages.re/international/monde/la-chine-propose-la-creation-de-85-millions-d-emplois-en-Africa, 91798, and “Exclusive interview with Helen Hai, CEO of the Made in Africa Initiative” Financial Afrik, August 10, 2018, www.financialafrik.com/2018/08/10/interview-exclusive-avec-helen-hai-ceo-de-made-in-africa-initiative/. Currently, only a tiny fraction of Chinese companies are considering relocating outside China and the regional neighbourhood.