Weaker commodity prices and slowing demand in emerging economies have dampened the outlook for Africa’s commodity export revenues. Western donor attention has substantially shifted to the refugee and migrant crisis in Europe, and tighter external financial conditions for Africa's frontier markets have led to sizeable capital outflows.
The planned Continental Free Trade Agreement (CFTA) has the potential to reinvigorate Africa's development at this watershed moment. It could prove crucial for the creation of well-paying jobs, especially for Africa's youth, but political leadership focused on African integration will be decisive.
UNCTAD estimates that implementing the CFTA will roughly double the share of intra-African trade (currently around 13% of African exports) by early next decade. And if past experience is any guide, tariff reductions may even increase trade tax revenue.
Read more. Source | World Economic Forum