The AfCFTA envisions to expand intra-African trade and intensify regional integration by successively eliminating tariffs on 90% of product categories. Removal of such trade barriers assures to not only improve efficiency, enhance competition, and incentivise development of strategic solutions to local challenges through regional economies of scale, but essentially advance the efficacy of resource allocation.
Improved energy trade and energy integration initiatives will boost economic development in Africa by reducing transaction costs and enabling market and economic collaboration, conclusively accelerating investment incentives. Furthermore, removal of impediments to intra-African trade by AfCFTA portends additional US public and private investment in Africa’s oil and power sectors, since increased investment is aligned with US policy as well as sound business consideration.
Read more: Namibia Economist