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 yesterday, 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," she stated.
The government is advancing the AfCFTA agreement through initiatives like the guided trade program, which includes a provisional schedule of tariff concessions adopted by African heads of state, Yasmin said. The Ministry is also promoting agreement domestication through capacity-building and awareness efforts for private sector stakeholders and implementing agencies.
"We have established a national AfCFTA implementation committee, which recently held its second meeting to oversee the agreement's execution," Yasmin added. Subsidiary committees, such as those for trade facilitation, rules of origin, and customs cooperation, have also been set up to support these efforts.
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These initiatives aim to help Ethiopian businesses navigate the new trade landscape and seize AfCFTA opportunities. "We are laying a solid foundation for Ethiopia's successful implementation of the agreement, enhancing economic resilience."
AfCFTA Secretariat representative, Tsotetsi Makong (PhD), praised Ethiopia's role in advancing Africa's economic integration. He acknowledged Ethiopia's efforts to position AfCFTA as a beacon of hope for a unified African market.
On challenges, Makong noted that AfCFTA faced early skepticism from within and beyond Africa. "Some doubted the ambition, predicting it might fail. Yet five years in, we are witnessing significant progress," he said.
With over 30 countries showing active interest in AfCFTA's guided trade initiative, businesses are forming partnerships that leverage the AfCFTA framework. Meanwhile, recent meetings have addressed crucial topics like digital trade, investment, and trade goods.
Makong urged member states to expedite full implementation amid global trade challenges, such as trade wars, supply chain fragmentation, and climate change impacts. "We are seeing a shift in countries' economic policies that focus on Africa, with technological advancements opening new opportunities for trade."
Investment policies are also evolving, he added, with a central focus on micro, small, and medium enterprises, as well as women and youth, recognized as key drivers of sustainable economic growth.
BY YESUF ENDRIS
THE ETHIOPIAN HERALD WEDNESDAY 6 NOVEMBER 2024
