AfCFTA Is Officially in Force — Now the Real Work Begins
The founding agreement of the African Continental Free Trade Agreement (AfCFTA) enters into force today. The required number of ratifications has already been deposited and the agreement can now become a binding international legal instrument.
This constitutes an important political achievement but will not usher in immediate free trade; several legal instruments must still be finalised. National legal regimes must also be updated to reflect interstate agreements. International trade agreements are not selfexecuting; they are implemented through domestic measures such as new customs procedures and domestic regulations for foreign service providers and investors.
The entry into force of the AfCFTA agreement is the first step towards the formation of a comprehensive free trade regime for Africa, under the auspices of the African Union (AU). The implementation will be incremental. There will be one overarching trade arrangement, but specific commitments and opportunities will depend on the detail contained in the respective schedules. The private sector (the real traders) will need access to the correct information.
Africa’s Continental Trade Zone Agreement in Force: World’s Largest Commercial Market Engaged
The African Union Trade and Industry Commissioner, Albert Muchanga, announced the entry into force of the African Continental Free Trade Zone (AFCFTA) agreement. Muchanga, in a statement from social media, pointed out that they are at a historic turning point and that the agreement has entered into force as of today.
President of the African Union Commission Musa Faki Muhammad reminded that the agreement came into effect in a record time of 18 months, and announced that the world’s largest commercial market came into play with 1.2 billion people. Muhammad, “Today, a historic victory for our desire for Africa,” he said.
The AfCFTA agreement is the free trade zone agreement in which the World Trade Organization (WTO) has joined the country since its founding.
In the event that 1.2 billion people live and the members of the union, which has a gross domestic product of 2.5 trillion dollars, implement the agreement, the continent will have achieved great success in economic integration.
Helios Investment Partners to Launch Largest Investment Fund for Africa ($ 1.25 Billion)
The private equity firm, Helios Investment Partners, is preparing to launch a $ 1.25 billion fund dedicated to Africa, Bloomberg reported.
The Africa-focused private equity firm has begun negotiations with asset managers and development finance institutions (DFIs) on the launch of this vehicle which will be the largest investment fund dedicated exclusively to the continent African, we added the same source.
As growth slows globally, private equity industry players are increasingly moving towards the African continent, where economic growth remains strong in many countries, driven by the emergence of medium and major investments in infrastructure.
According to a report by market research firms Asoko Insight and Africa Capital Digest, 207 private equity firms are currently operating in sub-Saharan Africa. Eight firms manage funds ranging from $ 500 million to $ 1 billion and sixty have funds ranging in size from $ 100 million to $ 500 million.
CENTER FOR AFRICAN STUDIES
Center for Africa Studies (AFRAM) which located in Ankara, is an organization facilitating under the administration of African Affairs Council (AFAC). It makes various researches about Africa to enhance economic and cultural bounds between Africa and Turkey. AFRAM’s publishings has been shared with different institutions as they require to obtain.
AFRICA OBSERVATORY
Africa Observatory is one the publishing of AFRAM and it has been published each two weeks. It has been delivered to different institutions via e-mail.
