By; MATTHEW UKACHUNWA, Lagos
A leader of Nigeria Union of Journalists (NUJ) has said that African Continental Free Trade Area (AfCFTA) presents many opportunities for African countries to lift 30 million people out of extreme poverty.
He pointed out that AfCFTA will also raise income of 68 million others who live on less than 5.50 Dollars per day.
Mr. Adeleye Ajayi, Chairman, Nigeria Union of Journalists, Lagos State Council made the above statement while highlighting the merits of AfCFTA at a one-day workshop on the theme: “Challenges of African Continental Free Trade Agreement on Nigerian Businesses.”
The workshop which was organized by NUJ Lagos State Council took place on Tuesday 24th May 2022 at Lagos Airport Hotel, Ikeja, Lagos.
“With the implementation of AfCFTA, trade facilitation measures that cut red tape and simplify customs procedures would drive $292 billion of the $450 billion in potential income gains,” Ajayi said.
According to him, implementing AfCFTA would help usher in the kinds of deep reforms necessary to enhance long-term growth in African countries.
“The scope of AfCFTA is large”, the NUJ chief declared. “The agreement will reduce tariff among member countries and cover policy areas such as trade facilitation and services, as well as regulatory measures such as sanitary standards and technical barriers to trade. Full implementation of AfCFTA would reshape markets and economies across the region and boost output in the services, manufacturing and natural resources sectors.”
Ajayi noted that as the global economy is in turmoil due to the outbreak of Novel Coronavirus disease (COVID-19) pandemic, creation of the vast AfCFTA regional market is a major opportunity to help African countries diversify their exports, accelerate growth, and attract foreign direct investment (FDI).
He pointed out that the African Continental Free Trade Area has the potential to increase employment opportunities and incomes, and will help in expanding business opportunities for Africans.
“Creating a single, continent-wide market for goods and services, business and investment would reshape African economies. The implementation of AfCFTA would be a huge step forward for Africa, demonstrating to the world that Africa is emerging as a leader on the global trade agenda,” the NUJ leader elaborated.
Ajayi explained that successful implementation of AfCFTA “will be key, including careful monitoring of impacts on all workers – women and men, skilled and unskilled – across all countries and sectors, ensuring the agreement’s full benefits.”
He stressed that achieving the full potential of AfCFTA will depend on putting in place significant policy reforms and trade facilitation measures.
African Continental Free Trade Area is a free trade zone founded in year 2018, with trade beginning 1st January 2021.
It is the outcome of the African Continental Free Trade Agreement among 54 of the 55 African Union nations.
