Government

Put small-scale traders at the heart of efforts to accelerate trade and investment in Africa post COVID-19

The AfCFTA will not in one dramatic swoop alter existing commercial and economic realities on a vast scale, but its implementation could lead the recovery efforts from the COVID-19 crisis – Solomon Quaynor, VP African Development Bank

Industry experts meeting this week for a virtual discussion focused on resetting, retooling and restarting regional integration in Africa in the wake of the COVID-19 pandemic, underscored the importance of putting small scale traders at the heart of any initiatives.

The joint webinar, organized on Tuesday by the African Development Bank (www.AfDB.org) and Korea Customs Service(KCS), looked at service sectors, e-commerce, digital platforms and value chain development as critical factors for accelerating trade and investment in Africa against the backdrop of the global pandemic. The webinar was delivered in three sessions, moderated by Stephen Karangizi, Director, African Legal Support Facility; Dr. Stephen Karingi, Director at Regional Integration and Trade Division of UNECA and Acha Leke, Senior Partner at McKinsey

History has demonstrated the success of countries and businesses that seize new opportunities during times of crisis, said Sukhwan Roh, Commissioner of the Korea Customs Service. “The COVID-19 pandemic has completely changed health and livelihoods of individuals across the world in less than a year,” he said. “Korea wishes to share all the achievements in system enhancement utilizing new technologies with African countries.”

The workshop’s audience heard how regional integration is increasingly central to the continent’s future economic prospects and to attracting foreign direct investment. The African Continental Free Trade Agreement, (AfCFTA), already ratified by 30 countries, is expected to come into effect on 1 January, 2021. Uniting all 55 member states of the African Union, the pact will create a market of more than 1.2 billion people, including a growing middle class, and a combined gross domestic product (GDP) of over $3.4 trillion

COVID-19 has deepened pre-existing trade frictions within the continent yet offers important growth opportunities and great stories of innovation and highlights the importance of protecting Africa’s place in local value chains, said Anabel Gonzalez, Senior Fellow, Peterson Institute for International Economics, with the need to “put small scale traders at the heart of the effort.” She urged governments to strengthen national agencies to provide support to small traders.

“AfCFTA creates a new trade and integration reality…integrating unequal partners across the continent,” said Trudi Hartzenberg Executive Director of the Trade Law Center (TRALAC). Trade facilitation enjoys specific focus within the AfCFTA, with digital, e-payments, and e-commerce particularly important, she added, citing a 2020 WTO report that emphasized education and healthcare as fundamental to industrialization.

From the outset, the African Development Bank has lent strong support to the AfCFTA, financing the set-up of its secretariat as well as supporting member countries with technical assistance to comply with a range of AfCFTA regulations, said Bank Vice President, Infrastructure, Private Sector & Industrialization, Solomon Quaynor in his introductory remarks read by Abdu Mukhtar, Bank Director, Industrial and Trade Development Department.

Still, Quaynor warned, post-crisis recovery efforts are likely to be slow. “The AfCFTA will not in one dramatic swoop alter existing commercial and economic realities on a vast scale. However, through strategic measures and the right investments, policy frameworks and political backing, intra-African trade will be enhanced.“

African countries innovate to enhance local value chains

Presentations provided examples from Ghana and Zambia of strategies the private sector can adopt to leverage the AfCFTA within the context of the pandemic.

Ghana previously imported most of its Personal Protective Equipment or PPE, but, since the pandemic, the government galvanized 14 local garment firms to manufacture PPE. These firms now produce 1,000 items daily, according to Ghana’s deputy trade minister, Robert Ahomka Lindsay. The development has created 10,000 jobs.

“Traditional value chains have been challenged… it made us realise that we cannot rely on those value chains,” Lindsay said.

Some of the worst-affected sectors in Africa such as tourism, aviation and education, had shown resilience, for example, in the food industry, which harnessed e-commerce for marketing during the pandemic, noted Kenneth Baghamunda, Dir. General, Customs and Trade, East African Community Secretariat. Zambia’s success with cashless payment solutions at its border and other innovations since COVID-19 was another example of favourable results.

“We need to see which value chains need to be developed and we need to interconnect our policies with the right institutional framework,” he said.
Distributed by APO Group on behalf of African Development Bank Group (AfDB).

Media Contact:
Amba Mpoke-Bigg
African Development Bank
Communication and External Relations Department
Email: a.mpoke-bigg@afdb.org

Leave a Comment

Your email address will not be published.

You may also like

Business News Society Tourism Travels Trends

NEPC and NiDCOM Partner to Launch Diaspora Export Market Place

post-image

 

In a bid to strengthen Nigeria’s export market and leverage the potential of the diaspora, the Nigerian Export Promotion Council (NEPC) and the Nigerians in Diaspora Commission (NiDCOM) have teamed up to create the Diaspora Export Market Place (DEMP). This was announced during a strategic meeting held at NiDCOM Headquarters in Abuja, where both organisations expressed their commitment to expanding Nigeria’s export reach, particularly in the non-oil sector.

Mrs. Nonye Ayeni, the Executive Director and CEO of NEPC, highlighted the significance of the agricultural sector, which contributes 25 percent to Nigeria’s GDP and employs over 70 percent of the population. She emphasized that NEPC’s mandate to promote and coordinate export activities aligns with various initiatives like “Seeing Beyond Borders” and “Nigerian Heritage City.” These initiatives aim to promote the growth of Nigeria’s non-oil exports by engaging more stakeholders, especially those in the diaspora.

Mrs. Ayeni further explained that the Diaspora Export…

Read More
Business Economy

Nigeria set to become the first West African manufacturing hub for insecticide-treated nets in the battle against malaria

post-image

Vestergaard Sàrl (https://Vestergaard.com/) announced today that the Government of the Federal Republic of Nigeria, acting through the Presidential Initiative for Unlocking the Healthcare Value Chain (PVAC), has signed a Memorandum of Understanding (MoU) with the company, as an initial step to establish the country as the first West African manufacturing hub for insecticide-treated nets (ITNs) to combat malaria – and the first on the continent to produce dual active-ingredient nets to help combat insecticide resistance.

 

Nearly every minute (https://apo-opa.co/4eqUoIY), a child under 5 years old dies from malaria. The African continent accounts for almost 95% (https://apo-opa.co/4ecJ8jD) of the world’s malaria cases – one quarter of these are in Nigeria. New approaches are needed to boost access to tried-and-tested, cost-effective tools to combat the disease, and local manufacturing of nets, medicines and vaccines is a priority for the continent…

Read More
Business Culture Economy International Investments News Tourism Travels Trends

Majority of African Countries Will Take Center Stage in BRICS+ Fashion Summit in Moscow

post-image

A majority of African countries will take part in the BRICS Fashion Summit (https://FashionSummit.org/) in Moscow. The Summit is set to be the largest event in the fashion world, serving as a platform for the exchange of experience between leading industry players from emerging markets. Africa will be represented by delegations from over 30 countries, including South Africa, Ethiopia, Egypt, Algeria, Tanzania, Ghana, Nigeria, Zimbabwe, and others. The Summit held in Russia, chairing the BRICS this year, will also welcome delegations from China, India, Indonesia, the UAE, Brazil, Malaysia, and other nations from Asia, Latin America, and Europe.

 

Stephen Manzini, Founder and CEO of Soweto Fashion Week, emphasizes the importance of the BRICS Fashion Summit for the global fashion industry: “The BRICS Fashion Summit is very important for emerging economies and the global South as we have never had a united platform of this nature in history….

Read More
Business Culture Economy Entertainment Society Trends

African fashion designers supported by Afreximbank’s Creative Africa Nexus (CANEX) shine at Paris Fashion week

post-image

Two weeks after the highly successful inaugural Tranoï Tokyo trade show held in Japan from September 4-5, over 20 exceptional fashion brands from across Africa and the diaspora showcased their designs at the Paris Fashion Week on 26-29 September at Tranoï, Palais Brongniart as part of Afreximbank’s CANEX Presents Africa initiative (www.Afreximbank.com).

 

Afreximbank’s dedicated scenographic exhibition space  showcased a diverse array of brands, including Ethiopia’s Mafi Mafi, Kenya’s Adele Dejak, We Are NBO, and Katush, Zanzibar’s Doreen Mashika, and Nigeria’s Emmy Kasbit, WUMAN and Bloke. Representing South Africa were JUDY SANDERSON, David Tlale, and Thebe Magugu, while Zimbabwe was represented by Vanhu Vamwe.

Other incredible brands included The Cloth from Trinidad and Tobago, Olooh and Kente Gentlemen from Côte d’Ivoire, Ghana’s Christie Brown and Beyodoe, Late For Work from Morocco and Margaux Wong from Burundi.

This moment is quite significant as it marks the first…

Read More
Business Economy Finance Fintech

VFD Microfinance Bank Appoints Temitope Osinubi as General Manager for Audit, Control, and Compliance

post-image

VFD Microfinance Bank, a leading institution in the Nigerian financial sector, has recently announced the appointment of Temitope Osinubi as the new General Manager for Audit, Control, and Compliance. This strategic appointment underscores the bank’s commitment to ensuring robust governance, transparency, and adherence to the highest regulatory standards as it continues to deliver on its vision of promoting financial inclusion and sustainable banking.

Temitope Osinubi joins VFD Microfinance Bank with an impressive academic and professional background. She holds a Master of Science (M.Sc.) degree in Actuarial Science from the prestigious University of Lagos, in addition to a Bachelor of Science (B.Sc.) in Mathematics from Olabisi Onabanjo University. As a Certified Internal Auditor (CIA), Temitope brings with her a wealth of experience,…

Read More
Business Culture

NNPC/Seplat JV’s “Eye Can See” Programme Restores Vision, Hope in Imo

post-image

 

 

The NNPC Ltd/ Seplat Energy Joint Venture (JV) partnership has conducted a medical outreach, providing free eye health services to individuals with visual impairments in Ohaji/Egbema community of Imo State.

Through its “Eye Can See” programme, a Corporate Social Responsibility (CSR) initiative, the JV dispensed more than 10,000 reading glasses and successfully performed 639 eye surgeries, including cataract removals, for host community members who otherwise had limited access to such vital medical services.

The “Eye Can See” programme, which commenced in 2017, has been a beacon of hope in the eastern asset of the NNPC Upstream Investments, positively impacting over 20,000 people to date.

In his remarks during the event, Chief Upstream Investment Officer of NNPC Upstream Investment Management Services (NUIMS), Bala Wunti, represented by Dr. Obinna Otuu, Manager, JV Asset B emphasized the significance of the initiative to NNPC Ltd’s corporate mission of enriching the lives of Nigerians.

Elaborating further on the…

Read More
Business Culture Economy Society

Data Privacy Workshop for the Nigeria Data Protection Commission (NDPC) Held in Ottawa, Canada

post-image

 

The Nigeria Data Protection Commission (NDPC) recently participated in a Data Privacy Workshop organized by Aajimatics Technologies in Ottawa, Canada. The training centered around the Canadian Privacy Law Primer, equipping attendees with valuable knowledge on privacy regulations.

Facilitated by Shaun Brown, a lawyer specializing in regulatory matters, the workshop covered essential aspects of privacy legislation across public, private, and health sectors. Brown provided in-depth insights into both federal and provincial privacy laws, emphasizing their significance in ensuring data protection and privacy rights.

Among the attendees were Dr. Vincent Olatunji, National Commissioner and CEO of NDPC; Mr. Solomon Odole, Project Coordinator of ID4D; and staff members from NDPC, the National Identity Management Commission (NIMC), and Nigeria’s ID4D initiative.

The workshop served as a platform for knowledge sharing and collaboration, enhancing participants’ understanding of data protection practices and privacy legislation in Canada, which can be applied to strengthen Nigeria’s own data protection framework.

Read More
Business Culture Economy

Women Affairs Ministry to Partner with WEMA Bank on Empowerment Initiatives for 500,000 Females

post-image

 

The Federal Ministry of Women Affairs is set to partner with WEMA Bank Plc on various empowerment initiatives aimed at improving the lives of 500,000 women across Nigeria’s six geo-political zones. These initiatives, to be executed through the Ministry’s women cluster arrangement, will focus on skill acquisition, agriculture, the provision of grants and loans, and the allocation of part of WEMA Bank’s Corporate Social Responsibility (CSR) to women-centric programs.

Barrister (Mrs.) Uju Kennedy-Ohanenye, Honourable Minister of Women Affairs, revealed this during a meeting with officials from WEMA Bank and its partners on Monday at her office. The meeting centered on planning the partnership, which aligns with President Bola Ahmed Tinubu’s Renewed Hope Agenda, targeting poverty reduction, unemployment, and nationwide improvement in living standards.

The Minister emphasized that empowering women economically is essential in addressing societal issues such as poverty, early marriages, and domestic violence. With women and children comprising 70% of…

Read More