In 2023, intra-African trade recorded a growth of 7.2%, reaching 192 billion dollars. In recent years, there has been a considerable push to increase intra-African trade with the aim of boosting local economies, promoting diversification, and accelerating development.
According to a report by the African Export-Import Bank (Afreximbank) titled "African Trade Report 2024: Climate Implications of the AfCFTA Implementation," intra-regional trade accounted for 15% of the continent's total trade last year, compared to 13.6% in 2022. Southern Africa remains the main driver of trade between African countries with 41.4%, followed by West Africa with 25.7%, East Africa with 14.1%, North Africa with 12.4%, and Central Africa with 6.6%.
The report also reveals that the total value of intra-regional and extra-regional trade in Africa decreased by 6.3% in 2023, amounting to approximately 1300 billion dollars. A significant development in efforts to increase intra-African trade was the launch of the African Continental Free Trade Area (AfCFTA).
The AfCFTA, operational since January 1, 2021, represents a potential market of over 1.3 billion people with a combined GDP of more than 3000 billion dollars. It is the largest free trade agreement by the number of participating countries since the formation of the World Trade Organization.
