Mr Wamkele Mene, the Secretary General of the African Continental Free Trade Area (AfCFTA), has stated that the full operationalization of the free trade system will promote economic development and contribute to Africa’s structural transformation.
According to the Secretary General of the free trade system within the region, would help to reshape markets and economies across the continent for sustained development. Mr Mene made this known at the ongoing 3-day ceremony of the 74th Annual New Year School and Conference in Accra.
The Conference is on the theme: ‘Positioning the African Market for Sustainable Economic Development Through AfCFTA’. Mr Mene posited that the theme is timely because the development of AfCFTA would catalyze Africa’s economic growth and accelerate development.
Mr Mene disclosed that the AfCFTA Secretariat and African Export-Import Bank (Afreximbank) had signed an agreement relating to the management of the Base Fund of the AfCFTA Adjustment Fund. He noted that the Fund, estimated at $10 billion over the next five to 10 years, will support African countries that experienced short-term revenue losses as a result of reducing or eliminating their tariffs. He added that the Fund would enable countries to effectively participate in the new trading environment established under AfCFTA.
Mr Wamkele Mene averred that a number of operational instruments, such as the Pan-African Payments and Settlement System and the Non-Tariff Barriers Tools have been put in place to lower trade barriers and promote regional economic integration. This, the Secretary General stated, would serve as a driver of Africa’s economic transformation and reduce Africa’s reliance on exports.
Mr Mene noted that the expected benefits of AfCFTA would stimulate production through the development of regional value chains to ensure that manufacturing, agro-processing, and other activities are spread across the continent.
Ghana Advised to Lead Discussions on Regional Trade
Professor Nana Aba Appiah Amfo, Vice-Chancellor of University of Ghana (UG), taking turns to address participants, noted that Ghana must take the opportunity as host of the African Continental Free Trade Area (AfCFTA) Secretariat to lead discussions on regional trade.
Describing the AfCFTA as a crucial milestone for Africa, the Vice-Chancellor opined that the successful implementation of the Agreement would help boost intra-Africa trade and serve as a catalyst for the continent’s economic transformation.
“Ghana should take the opportunity to lead dialogue aimed at repositioning its financial, industrial, and vocational sectors as well as technological development, and security apparatus to deal with emerging issues in the regional trade area.”
Professor Nana Aba Appiah Amfo
Prof. Amfo noted that there is an urgent need to restore the African economy, adding that the UG has an important role to play in spurring economic growth and development through innovation, knowledge transfer, and community engagement.
“It is our anticipation that this year’s New Year School and Conference will lead the way in helping to identify models that would enhance the regional economic cooperation and integration through free trade that we envisage leads to a prosperous continent.”
Professor Nana Aba Appiah Amfo
Dr. Daniel McKorley, Chairman of the McDan Group of Companies, also indicated that the ability of the private sector to lead key sectors of the African economy would be crucial for the effective operationalization of the Agreement. He urged the private sector to educate themselves effectively about the functions of AfCFTA to enable them to understand and participate in the framework.
Since its inception in 1948, the Annual New Year School and Conference has been the flagship programme of the University and attracts people from all walks of life to deliberate on topical issues of national and international interests. It opens at the beginning of every new year.
At the end of every school and conference, a communiqué is issued, which captures the recommendations of participants and discussants. The recommendations usually inform policy decisions and directions in the country.
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