Commonwealth Business Communications
  • HOME
  • ABOUT
  • COUNTRIES
    • AFRICA
      • BOTSWANA
      • CAMEROON
      • GAMBIA
      • GHANA
      • KENYA
      • KINGDOM OF eSWATINI
      • LESOTHO
      • MALAWI
      • MAURITIUS
      • MOZAMBIQUE
      • NAMIBIA
      • NIGERIA
      • RWANDA
      • SEYCHELLES
      • SIERRA LEONE
      • SOUTH AFRICA
      • TANZANIA
      • UGANDA
      • ZAMBIA
    • ASIA
      • BANGLADESH
      • BRUNEI DARUSSALAM
      • INDIA
      • MALAYSIA
      • MALDIVES
      • PAKISTAN
      • SINGAPORE
      • SRI LANKA
    • CARIBBEAN AND AMERICAS
      • ANTIGUA AND BARBUDA
      • BAHAMAS
      • BARBADOS
      • BELIZE
      • CANADA
      • DOMINICA
      • GRENADA
      • GUYANA
      • JAMAICA
      • SAINT LUCIA
      • ST KITTS AND NEVIS
      • ST VINCENT AND THE GRENADINES
      • TRINIDAD AND TOBAGO
    • EUROPE
      • CYPRUS
      • MALTA
      • UNITED KINGDOM
    • PACIFIC
      • AUSTRALIA
      • FIJI
      • KIRIBATI
      • NAURU
      • NEW ZEALAND
      • PAPUA NEW GUINEA
      • SAMOA
      • SOLOMON ISLANDS
      • TONGA
      • TUVALU
      • VANUATU
  • AREAS OF WORK
    • GOVERNMENT
    • EDUCATION
    • HEALTH
    • ICT
    • INFRASTRUCTURE DEVELOPMENT
    • NATURAL RESOURCES
    • SUSTAINABLE DEVELOPMENT GOALS
    • TRADE AND INVESTMENT
  • OUR PUBLICATIONS
    • CHOGM
      • COMMONWEALTH HEADS OF GOVERNMENT INTERIM REPORT 2020
      • THE COMMONWEALTH HEADS OF GOVERNMENT MEETING 2018 REPORT
      • THE COMMONWEALTH HEADS OF GOVERNMENT MEETING 2015 REPORT
      • THE COMMONWEALTH HEADS OF GOVERNMENT MEETING 2011 REPORT
      • THE COMMONWEALTH HEADS OF GOVERNMENT MEETING 2009 REPORT
      • THE COMMONWEALTH HEADS OF GOVERNMENT MEETING 2007 REPORT
    • HEALTH
      • COMMONWEALTH HEALTH REPORT 2022
      • COMMONWEALTH HEALTH REPORT 2020
    • EDUCATION
      • COMMONWEALTH EDUCATION REPORT 2023
      • COMMONWEALTH EDUCATION REPORT 2021
      • COMMONWEALTH EDUCATION REPORT 2019
    • MINISTERS
      • MINISTERS REFERENCE BOOK COMMONWEALTH 2017
      • MINISTERS REFERENCE BOOK COMMONWEALTH 2015
      • MINISTERS REFERENCE BOOK COMMONWEALTH 2014
      • COMMONWEALTH MINISTERS REFERENCE BOOK 2011
      • COMMONWEALTH MINISTERS REFERENCE BOOK 2010
      • COMMONWEALTH MINISTERS REFERENCE BOOK 2009
      • COMMONWEALTH MINISTERS REFERENCE BOOK 2008
      • COMMONWEALTH MINISTERS REFERENCE BOOK 2007
    • FINANCE
      • COMMONWEALTH FINANCE MINISTERS REPORT 2012
      • COMMONWEALTH FINANCE MINISTERS REFERENCE REPORT 2010
      • COMMONWEALTH FINANCE MINISTERS REFERENCE REPORT 2009
      • COMMONWEALTH FINANCE MINISTERS REFERENCE REPORT 2008
      • COMMONWEALTH FINANCE MINISTERS REFERENCE REPORT 2007
    • TRADE AND INVESTMENT
      • AFRICA INFRASTRUCTURE INVESTMENT REPORT 2013
    • QUEEN AND COMMONWEALTH
      • QUEEN & COMMONWEALTH: CELEBRATING HER MAJESTY’S PLATINUM JUBILEE
      • QUEEN & COMMONWEALTH: 90 GLORIOUS YEARS
      • QUEEN & COMMONWEALTH: CELEBRATING HER MAJESTY’S DIAMOND JUBILEE
  • CONTRIBUTORS
  • CONTACT US
Commonwealth Business Communications
Commonwealth Business Communications
  • HOME
  • ABOUT
  • COUNTRIES
    • AFRICA
      • BOTSWANA
      • CAMEROON
      • GAMBIA
      • GHANA
      • KENYA
      • KINGDOM OF eSWATINI
      • LESOTHO
      • MALAWI
      • MAURITIUS
      • MOZAMBIQUE
      • NAMIBIA
      • NIGERIA
      • RWANDA
      • SEYCHELLES
      • SIERRA LEONE
      • SOUTH AFRICA
      • TANZANIA
      • UGANDA
      • ZAMBIA
    • ASIA
      • BANGLADESH
      • BRUNEI DARUSSALAM
      • INDIA
      • MALAYSIA
      • MALDIVES
      • PAKISTAN
      • SINGAPORE
      • SRI LANKA
    • CARIBBEAN AND AMERICAS
      • ANTIGUA AND BARBUDA
      • BAHAMAS
      • BARBADOS
      • BELIZE
      • CANADA
      • DOMINICA
      • GRENADA
      • GUYANA
      • JAMAICA
      • SAINT LUCIA
      • ST KITTS AND NEVIS
      • ST VINCENT AND THE GRENADINES
      • TRINIDAD AND TOBAGO
    • EUROPE
      • CYPRUS
      • MALTA
      • UNITED KINGDOM
    • PACIFIC
      • AUSTRALIA
      • FIJI
      • KIRIBATI
      • NAURU
      • NEW ZEALAND
      • PAPUA NEW GUINEA
      • SAMOA
      • SOLOMON ISLANDS
      • TONGA
      • TUVALU
      • VANUATU
  • AREAS OF WORK
    • GOVERNMENT
    • EDUCATION
    • HEALTH
    • ICT
    • INFRASTRUCTURE DEVELOPMENT
    • NATURAL RESOURCES
    • SUSTAINABLE DEVELOPMENT GOALS
    • TRADE AND INVESTMENT
  • OUR PUBLICATIONS
    • CHOGM
      • COMMONWEALTH HEADS OF GOVERNMENT INTERIM REPORT 2020
      • THE COMMONWEALTH HEADS OF GOVERNMENT MEETING 2018 REPORT
      • THE COMMONWEALTH HEADS OF GOVERNMENT MEETING 2015 REPORT
      • THE COMMONWEALTH HEADS OF GOVERNMENT MEETING 2011 REPORT
      • THE COMMONWEALTH HEADS OF GOVERNMENT MEETING 2009 REPORT
      • THE COMMONWEALTH HEADS OF GOVERNMENT MEETING 2007 REPORT
    • HEALTH
      • COMMONWEALTH HEALTH REPORT 2022
      • COMMONWEALTH HEALTH REPORT 2020
    • EDUCATION
      • COMMONWEALTH EDUCATION REPORT 2023
      • COMMONWEALTH EDUCATION REPORT 2021
      • COMMONWEALTH EDUCATION REPORT 2019
    • MINISTERS
      • MINISTERS REFERENCE BOOK COMMONWEALTH 2017
      • MINISTERS REFERENCE BOOK COMMONWEALTH 2015
      • MINISTERS REFERENCE BOOK COMMONWEALTH 2014
      • COMMONWEALTH MINISTERS REFERENCE BOOK 2011
      • COMMONWEALTH MINISTERS REFERENCE BOOK 2010
      • COMMONWEALTH MINISTERS REFERENCE BOOK 2009
      • COMMONWEALTH MINISTERS REFERENCE BOOK 2008
      • COMMONWEALTH MINISTERS REFERENCE BOOK 2007
    • FINANCE
      • COMMONWEALTH FINANCE MINISTERS REPORT 2012
      • COMMONWEALTH FINANCE MINISTERS REFERENCE REPORT 2010
      • COMMONWEALTH FINANCE MINISTERS REFERENCE REPORT 2009
      • COMMONWEALTH FINANCE MINISTERS REFERENCE REPORT 2008
      • COMMONWEALTH FINANCE MINISTERS REFERENCE REPORT 2007
    • TRADE AND INVESTMENT
      • AFRICA INFRASTRUCTURE INVESTMENT REPORT 2013
    • QUEEN AND COMMONWEALTH
      • QUEEN & COMMONWEALTH: CELEBRATING HER MAJESTY’S PLATINUM JUBILEE
      • QUEEN & COMMONWEALTH: 90 GLORIOUS YEARS
      • QUEEN & COMMONWEALTH: CELEBRATING HER MAJESTY’S DIAMOND JUBILEE
  • CONTRIBUTORS
  • CONTACT US

DIVERSE GLOBAL TRADING KEY TO AFRICA’S TRANSFORMATION

  • CBC News Team
Total
0
Shares
0
0
0

African countries must expand and diversify their participation in international trade and global value chains to reduce poverty on a large scale and transform their economies, says a new World Bank book.

The continent must go beyond trade in raw materials and link its production and trade to the global economy to take advantage of the unlimited demand and innovation along the supply chain. This requires comprehensive and dynamic efforts that bolster Africa’s export market access and diversifies its markets to new regions and new products while also strengthening regional trade, says the ‘Africa in the New Trade Environment: Market Access in Troubled Times’ book.

“The global econ­omy is a source of growth that African economies cannot afford to ignore. While African exports of goods and services have seen their fastest growth in the past decade, the volumes remain low at just 3 percent of global trade. The time is ripe for policymakers to expand their thinking beyond traditional approaches and traditional markets if they want to play an active role in international trade in the 21st century,” saidOusmane Diagana, World Bank Vice President for Western and Central Africa.

The book notes that unilateral trade preferences have the potential to promote economic transformation through exports and calls for evaluating and re-engineering trade with traditional partners. Utilisation rates of many African countries for the existing trade preferences – such as African Growth and Opportunity Act and Everything But Arms are systematically low. Evidence on AGOA shows that natural resources, mainly oil, account for the bulk of African exports.

There is a need to integrate unilateral trade preferences with other efforts to deepen trade and investment between sub-Saharan African countries and the OECD countries, the book emphasised. This includes integrating preferences with foreign aid policy instruments to address structural challenges limiting export capacity.

Recent initiatives such as Compact with Africa with a strong focus on improving the business environment, building infrastructure, and promoting effective regulations and institutions appear to be in line with this comprehensive approach.

The rapidly growing middle class and demand from East Asia, accompanied by rising relative wages, along with the shifting structure of global value chains, offer new market opportunities for sub-Saharan African countries to strategically diversify trade with Asia.

“Deepening regional integration to scale up supply capacity and build regional value chains is essential to the continent’s economic transformation. The establishment of the African Continental Free Trade Area (AfCFTA) presents major opportunities to boost intra-African trade, strengthen the complementarities of production and exports, create employment, and limit the impact of commodity price volatility on the participants,” said Hafez Ghanem, World Bank Vice President for Eastern and Southern Africa.  

“African countries need to undertake bold domestic structural reforms to scale up the supply capacity of the region. This can be achieved by improving digital and physical connectivity, maintaining smart macroeconomic management with stable and competitive exchange rates and low inflation, and increasing the efficiency of regulatory, legal and judiciary institutions,” said Albert Zeufack, World Bank Chief Economist for Africa.

Going forward, the book highlights that the approach to strengthening integration for a successful AfCFTA should focus on:

  • improving physical integration – such as cross-border energy and transport infrastructure and connective infrastructure,
  • strengthening political cooperation – such as harmonising customs rules and procedures and sacrificing some level of sovereignty in rule making and implementation in favour of regional frameworks and,
  • facilitating business integration – such as regional electronic settlement system, electronic cargo tracking system, one-stop shops and easing restrictions on services trade. The costs of distance and fragmentation can be reduced through intensive investment in these areas.

Finally, the book recommends that the international community could also commit to increasing financial support for growth-sustaining regional infrastructure; shift from bilateral engagements to engagements with “economic areas” that tie together the economic interests of leading and lagging countries in each regional neighbourhood. A complementary activity under the World Trade Organization’s Aid for Trade initiative could also help bolster investment in sectors other than natural resources, as helping to build up non-resource exports from countries within neighbourhoods or regional economic communities is critical.

Share this:

  • Click to share on Twitter (Opens in new window)
  • Click to share on Facebook (Opens in new window)
Related Topics
  • AFRICAN TRADE
  • AfCFTA
CBC News Team

Previous Article

IOC AND WHO DISCUSS STRENGTHENING THEIR COLLABORATION

  • CBC News Team
Read More
Next Article

SOUTH AFRICA’S mRNA HUB PROGRESS IS FOUNDATION FOR SELF-RELIANCE

  • CBC News Team
Read More
You May Also Like
Gabon suspended from Commonwealth. Gabon and Commonwealth Flags fly over building.
Read More
  • Other
  • GABON

Gabon partially suspended from the Commonwealth pending restoration of democracy

  • CBC News Team
  • 21 September 2023
Read More
  • Health
  • BOTSWANA
  • HEALTH

Botswana’s investment in primary health care enhances access and quality of health care in the country

  • CBC News Team
  • 20 September 2023
Female farmer working on her rice field in Mozambique African Development Fund $20 million Mozambique
Read More
  • Agriculture
  • Heads of Government
  • Trade & Investment
  • Environment & Sustainability
  • MOZAMBIQUE

Mozambique: African Development Fund approves $20 million to improve business environment and drive investments to climate-smart agriculture

  • CBC News Team
  • 19 September 2023
Dr Jamila Bio Ibrahim as New Minister for Federal Ministry of Youth
Read More
  • Education & Youth
  • Heads of Government
  • GOVERNMENT
  • NIGERIA

President Tinubu Nominates Dr Jamila Bio Ibrahim as New Minister for Federal Ministry of Youth

  • CBC News Team
  • 18 September 2023
Canadian Minister welcomes Brunei Darussalam Minister of Foreign Affairs. Canadian flag in front of the Canadian parliament building
Read More
  • Trade & Investment
  • BRUNEI DARUSSALAM
  • CANADA
  • TRADE AND INVESTMENT

Canadian Minister Joly welcomes Brunei Darussalam’s Second Minister of Foreign Affairs to Canada

  • CBC News Team
  • 18 September 2023
mother carrying a baby on her back wrapped in a cloth, casava farming in Sierra Leone
Read More
  • Health
  • GOVERNMENT
  • SIERRA LEONE

Sierra Leone’s determination to stem maternal and child mortality

  • CBC News Team
  • 18 September 2023
Kenyan Flag crosses over Union Jack on a desk in an office demostrating UK–Kenya development partnership
Read More
  • Heads of Government
  • Environment & Sustainability
  • UNITED KINGDOM
  • KENYA
  • SUSTAINABLE DEVELOPMENT GOALS

UK–Kenya development partnership summary, July 2023

  • CBC News Team
  • 24 July 2023
Celebrating Togo Independence Day
Read More
  • TOGO
  • AFRICA

Celebrating Togo Independence Day

  • CBC News Team
  • 27 April 2023
OUR LATEST PUBLICATION
Commonwealth Education Report 2023
EDUCATION 23

Subscribe to our Newsletter

PARTNER FOCUS
Recent Posts
  • Gabon suspended from Commonwealth. Gabon and Commonwealth Flags fly over building.
    Gabon partially suspended from the Commonwealth pending restoration of democracy
  • Sustainable Blue Economy Malta
    Malta Enterprise launches the Blue Med – a focal point for sustainable blue economy
  • Botswana’s investment in primary health care enhances access and quality of health care in the country
  • Ministry of Education Safe School Recognition Programme
    St Vincent and the Grenadines’ Ministry of Education, along with UNICEF & CDEMA to Conduct Safe School Recognition Workshop

Subscribe

Subscribe now to our newsletter

Commonwealth Business Communications
  • HOME
  • About
  • Contact
  • Terms of Use
  • Privacy Policy
  • Cookie Policy
© 2022 Commonwealth Business Communications Limited. All Rights Reserved.

Input your search keywords and press Enter.