The African continental free trade area: the road ahead for the continent’s bold integration project

Abstract

Purpose

This paper aims to examine the road ahead for the African Continental Free Trade Area (AfCFTA), focusing on its potential opportunities and challenges. It is intended to help the AfCFTA’s effective implementation by highlighting the major areas of intervention for State Parties.

Design/methodology/approach

The paper analyses relevant economic, political and legal research sources on regional integration in Africa and offers some personal views of the author to evaluate the past, present and future of the AfCFTA.

Findings

The paper shows that the AfCFTA can support its State Parties’ industrialization and diversification, better integrate micro-, small- and medium-sized enterprises (MSMEs) to regional value chains, create jobs, encourage sustainable investments and help its State Parties have common positions on global issues and achieve development. But, it also shows the challenges facing the AfCFTA, which include infrastructure gap, revenue and job losses, overlapping membership of State Parties in Regional Economic Communities, cumbersome customs systems, difficulty to cross African borders, fledgling MSMEs and inadequate technical capacity on trade policy. Accordingly, it recommends that State Parties continuously take various actions to address these challenges and maximize the multiple benefits of the AfCFTA.

Originality/value

The paper provides a comprehensive and up-to-date appraisal of the opportunities and challenges of the AfCFTA, both in the context of the history of regional integration in Africa and the recent global shocks that adversely impacted the continent (COVID-19 and the war in Ukraine).

Citation

Hagos, B.A. (2023), "The African continental free trade area: the road ahead for the continent’s bold integration project", Journal of International Trade Law and Policy, Vol. 22 No. 2, pp. 53-66. https://doi.org/10.1108/JITLP-02-2023-0011