Farag Mahrouky’s Post

Afreximbank’s 2024 African Trade and Economic Outlook shows encouraging intra-African trade growth of 3.2 percent in 2023: “A Resilient #Africa: Delivering Growth in a Turbulent World” is the theme of the Afreximbank’s 2024 African Trade and Economic Outlook. The report provides in-depth analysis of the current global and African macroeconomic environment, trade patterns, and sovereign debt sustainability dynamics, as the basis for trade and economic projections for 2025. Through the examination of historical trends, existing and emerging risks, as well as opportunities, the report seeks to foster a deeper understanding of the factors driving Africa's economic performance and trade patterns, with a view to informing policy design. It also analyses the impact that the implementation of the African Continental Free Trade Area (#AfCFTA) and other initiatives critical to accelerating industrialization and promoting sustainable growth across the continent will have on African trade. Read more here: https://lnkd.in/dJABvaR7

For sustained economic growth and development to occur, the benefits of engaging in trade must be supported by independent increases in productivity within the particular economy. Additionally, savings and investment must increase, and economic policies must be favourable to private initiatives, capital inflows, and the efficient use of resources. Africa International Trade & Commerce Research, We facilitate trade to promote development. Sand K. Mba World Trade Organization The World Bank World Economic Forum International Trade Centre UNDP The Economist UNCTAD OECD - OCDE African Export-Import Bank (Afreximbank) 

𝗚𝗘𝗡𝗘𝗩𝗔: 𝗧𝗵𝗲 𝗪𝗼𝗿𝗹𝗱 𝗧𝗿𝗮𝗱𝗲 𝗢𝗿𝗴𝗮𝗻𝗶𝘇𝗮𝘁𝗶𝗼𝗻 𝘀𝗮𝗶𝗱 𝗼𝗽𝗲𝗻 𝘁𝗿𝗮𝗱𝗲 𝗮𝗹𝗼𝗻𝗲 𝘄𝗮𝘀 𝗻𝗼𝘁 𝗲𝗻𝗼𝘂𝗴𝗵 𝘁𝗼 𝗿𝗲𝗱𝘂𝗰𝗲 𝗶𝗻𝗲𝗾𝘂𝗮𝗹𝗶𝘁𝗶𝗲𝘀 𝗯𝗲𝘁𝘄𝗲𝗲𝗻 𝘄𝗲𝗮𝗹𝘁𝗵𝘆 𝗮𝗻𝗱 𝗱𝗲𝘃𝗲𝗹𝗼𝗽𝗶𝗻𝗴 𝗻𝗮𝘁𝗶𝗼𝗻𝘀 𝗮𝗻𝗱 𝗺𝗼𝗿𝗲 𝘄𝗮𝘀 𝗻𝗲𝗲𝗱𝗲𝗱 𝘁𝗼 𝗵𝗲𝗹𝗽 𝗽𝗼𝗼𝗿𝗲𝗿 𝗰𝗼𝘂𝗻𝘁𝗿𝗶𝗲𝘀. The report found that low-and middle-income economies tend to engage less in international trade, receive less foreign direct investment and depend more on commodities. #global #trade #export #africa #europe #wto #international #trade #international #business #manager

Trade is an important engine of economic growth and development. In almost all low- and middle-income countries, trade is part of national development plans. Since 2005 OECD and WTO has brought the development community and the trade community together under the Aid for Trade Initiative, focusing on how development assistance (ODA) help build partnerships with developing countries on investments in infrastructure, productive sectors and trade facilitation. The 9th “Aid for Trade at a Glance Report” was just launched today and is available here: https://lnkd.in/eMriYiqs   International trade patterns are changing and the time of hyper-globalization is over. Covid-19 proved to be an eye-opener for companies and governments alike: global value chains need to be more resilient and sustainable. Operating models and sourcing strategies need a make-over. Countries are increasingly focusing on self-reliance and strategic autonomy as core components of their trade strategies and approaches, responding to shifting geopolitical tensions and growing economic uncertainty. The landscape is changing – both the way we trade and what we trade in.    Aid in support of international trade must reflect these shifts. Aid for Trade disbursements have never been higher than in 2022, where they reached 51.1 billion USD. But we need more focus, not only on new challenges like digital trade or the greening of trade, but also on the poorest and most vulnerable countries.    It is concerning that the increased donor support in 2023 is primarily focused on Asia which increased with 22 %, whereas support for Africa fell by 2,5 %. That trend needs to change - and quickly so, as African countries are still marked by the aftermath of Covid-19 and soaring energy and food prices. Africa still only represent 3 % of global trade. More Aid for Trade support for Africa can help economies grow and exports to be developed from primary products to products with higher value added.   This must be on top of the future Aid for Trade priorities.

📈📈 A positive outlook for African economies 📈📈 African Export-Import Bank (Afreximbank) has launched its African Trade Report 2024 and African Trade and Economic Outlook Report 2024, forecasting greater growth in African economies than the global average. According to the organisation’s Yemi Kale, “This performance is reflective of the resilience of the African economy and the potential impact of the African Continental Free Trade Area’s (AfCFTA) single market for the continent as a tool to protect them from global shocks.” Discover more insights revealed by the reports at: https://zurl.co/tUMA #Africa #AfricanEconomies #AfricaTrade #AfricaGrowth #AAM #ResilientAfrica #IntraAfrica #AfCFTA

This article underscores the prevalence of South-South trade, surpassing traditional North-North trade dynamics, reshaping the global economic landscape. 🌍 Notably, developing nations increasingly engage in trade partnerships within the Global South, fostering a sense of solidarity and shared economic goals. 📈 Consequently, the shift towards regional cooperation presents substantial growth opportunities for African economies, creating avenues for diversified trade and investment. 🚧 However, challenges persist; inadequacies in transportation networks and logistical systems pose hurdles to seamless trade flows. 🔄 Accordingly, misaligned trade policies among participating nations represent another obstacle. Harmonizing these policies becomes crucial for sustained and equitable economic growth. 🌍 Importantly, the article emphasizes the strategic leveraging of South-South trade by African nations. This involves not just participation but actively shaping and benefiting from these trade dynamics. In conclusion, recognizing South-South trade as a catalyst for sustainable development 🌱, the article advocates for Africa to seize this opportunity, viewing it as pivotal in navigating the evolving global economic terrain.

In current economic order, commodities like wheat and cooking oil, and fertilizers exhibit critical strategic /geopolitical goods. As a result, Africa suffered the most, due to its excessive reliance on imports. In addition, the pandemic revealed the shortcomings of global food supply chain, that it is far from being sustainable. Are we going back to "import substitution", old-school protectionist economic policy? It does make sense for low-income countries, I guess, to prioritize food sovereignty and unleash their potential for regenerative agriculture and nature-based solutions. If designed carefully and mindfully, with a market systems approach, aid can improve conditions necessary for inclusive economic growth and equitable trade to take roots.

industrial policy | africa in the age of re-globalisation rafiq raji & amit jain nanyang business school 26 jan 2024 africa should exercise full sovereignty over its digital assets https://lnkd.in/e_ScP_c2 # africa tech climate trade economics

Boosting Developing Economies: The Critical Role of Aid for Trade in a Turbulent Global Market The benefits of international trade for developing countries are well-documented. Over the past three decades, low- and middle-income nations have doubled their share of global exports to 30 percent. Concurrently, the proportion of the global population living in extreme poverty has dramatically decreased from 47 percent to just 10 percent, with one billion people lifted out of poverty.

“One of the most remarkable changes since 1995 is that trade-enabled growth has lifted over 1.5 billion people out of extreme poverty,” said @World Trade Organization Director-General Ngozi Okonjo-Iweala at the opening of the 9th Global Review of #AidForTrade. In addition, low- and middle-income economies have nearly doubled their global export share, and poverty rates have plummeted, but challenges persist with rising protectionism and fragmented trade data. Check out this @Global Trade Magazine article with highlights on how Aid for Trade remains crucial in supporting developing economies to navigate these challenges and leverage trade for growth and #SustainableDevelopment. I really believe continued global cooperation and support will help #LMICs integrate into the #GlobalEconomy and boost #EconomicGrowth: https://ow.ly/VLxM30sFhvR