African leaders that gathered at the 31st African Export-Import Bank (Afreximbank) Annual Meetings (AAM) held in Nassau, the Bahamas, have called for a more collaborative and coordinated efforts towards building alliances for economic prosperity in Africa.
According to them, this commitment would help promote integration and a strong voice needed to defend Africa’s interest in the global arena.
Specifically, the chairperson of African Union, Mohammed Ould Ghazouani, stressed the need for Africa and its six regions to harness the potentials of Africarribean trade agreement for a robust inclusive growth.
According to him, African government should accelerate efforts to join PAPPS payment system with increased support for a united global Africa.
PAPSS is a cross-border, financial market infrastructure run by the Afreximbank. It enables payment transactions across Africa without the need for transactions to pass through correspondent banks outside of Africa.
Executive Director of the International Trade Centre, Ms. Pamela Coke-Hamilton, emphasised the significant trade potential between Africa and the Caribbean, projecting trade to reach $1.8 million annually by 2028.
She pointed out that it is time to establish a free trade area between Africa and the Caribbean to make Africa more competitive in the global market.
“Trade agreements are one way to help bring down barriers and open new opportunities,” she said.
Executive President of Guyana, Mohamed Irfaan Ali said there is need to build trust between Africans and Caribbeans, noting that Africans do not have trust among themselves.
Prime Minister, Commonwealth of Bahamas, Philip Davis said there is need to establish a joint task force that would help to remove barriers, harmonise regulatory framework and align African anti laundering framework.
“There is need to integrate the financial system to guarantee better opportunity to do business. Africa also need more people to people comunication to boost integration.”
Afreximbank’s Group Chief Economist and Managing Director of Research and International Cooperation, Dr. Yemi Kal said the ongoing global challenges undermined the performance of Africa’s trade, which contracted by 6.3 per cent in 2023 after expanding by 15.9 per cent in 2022, while intra-African trade expanded by 3.2 per cent over the same period.
The Chief Economist said: “This performance is reflective of the resilience of the African economy and the potential impact of the African Continental Free Trade Area’s (AfCFTA) single market for the continent as a tool to protect them from global shocks.
He added that there are untapped potential in intra-African trade, especially with respect to machinery, electricity, motor vehicles, and food products.
