In recent years, the world has suffered from multiple shocks, ranging from the Covid pandemic to regional tensions and conflicts, to the triple planetary crises of climate change, pollution and biodiversity loss. Combined, these challenges constitute a significant setback for Africa’s development trajectory. To mitigate the impact, Africa has progressively adapted its development strategy towards rules-based continental integration, sustainability and climate resilience. At the center of this strategy sits the African Continental Free Trade Area (AfCFTA).  

The AfCFTA is an ambitious initiative designed to help Africa build internal productive capacity essential for self-sufficiency by fostering regional value chains (RVCs) and mitigating the risks of excessive dependence on external partners for basic goods, including food and medicines. As the AfCFTA-led single market evolves through a continental customs union and common market, Africa will also increasingly position itself to negotiate better with the rest of the world speaking in one voice, thereby playing its due role in shaping the rules of global economic and political engagement. Simultaneously, the AfCFTA can also be a powerful vehicle to drive Africa’s sustainable and inclusive industrialization and economic diversification while boosting climate-friendly trade, thus helping the Continent mitigate climatic risks. 

This session will be dedicated to exploring the modalities toward which Africa can propel its development through trade. Presenting ECA’s research on the AfCFTA in relation to climate change and RVCs, the session will highlight the AfCFTA’s expected effects on trade, industrialization, and sustainable development, while exploring its potential to help countries invest in critical sectors and build resilient, efficient, and environmentally considerate value chains.