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Formal trade encourages countries in the Global South to diversify their exports beyond traditional commodities. This diversification can make their economies more resilient to commodity price fluctuations and market uncertainties. Sand K. MbaEuropean UnionThe ASEAN SecretariatWorld Economic ForumThe World BankInternational Monetary FundOECD - OCDEWorld Trade OrganizationFORMALTRADEAfrican Export-Import Bank (Afreximbank)Government of Nigeria

Intra-African Trade Reaches $192.2 billion In 2023: Afreximbank Report The #African Trade Report 2024, titled "Climate Implications of the #AfCFTA Implementation" and published by African Export-Import Bank (Afreximbank), indicates that trade within #Africa reached $192.2 billion in 2023, reflecting a 3.2% increase from the remarkable 10.9% growth observed in 2022. This resilience in inter-African trade occurred despite a global economic slowdown and various challenges faced by several nations. Furthermore, Africa's share of total intra-continental trade rose to 14.9%, up from 13.6% in 2022. This positive trend can be attributed to collaborative efforts among countries across the continent, particularly through the ongoing implementation of the African Continental Free Trade Area (AfCFTA), aimed at enhancing trade within Africa. The report notes that while the overall figures are promising, they conceal significant regional variations. "#SouthernAfrica, with an impressive trade growth rate of 41.1% with its neighbouring countries, has solidified its status as the foremost contributor to intra-African trade in 2023," the report states. Additionally, #WestAfrica has strengthened its position as the second-largest intra-African trading sub region, representing 25.7% of total intra-African trade. "#EastAfrica has emerged as the third-largest intra-African trading sub region, contributing 14.1%. #NorthAfrica and #CentralAfrica accounted for approximately 12.4% and 6.6%, respectively, of total intra-African trade," the report further elaborates. Image Credit: Business Insider Africa #Africa #Trade #AfricanEconomy #Growth #Development #UpwardAfrica #Commerce #Business

Intra-Africa trade as a share of Africa's global trade has remained somewhat stagnant. However, in terms of dollar value, it has grown from US$ 98 billion in 2013 to US$ 102 billion in 2022. The Economic Commission of Africa believes that the African Continental Free Trade Area (AfCFTA) could be a game-changer, estimating that intra-African trade could increase by as much as 35.6 percent in 2045 thanks to AfCFTA. To achieve this by 2045, the real question to be addressed is why intra-Africa trade as a percentage of Africa's global trade is performing poorly. Is a continental market all it takes? Discover our thoughts on this at https://lnkd.in/e6WP9_zD. #PuttruThinking

Africa's role in global trade is trending. According to a recent report by Standard Chartered - Future of Trade: Africa, Africa's total exports will reach almost $1tn by 2035. The World Bank recently reported that the African Continental Free Trade Area (AfCFTA) is predicted to increase intra-African trade volumes by 81%, boosting the continent's income by $450bn by 2035. In addition to AfCFTA's notable role in boosting trade, the continent's stance as a key trade region is being bolstered by major global players looking to diversify their supply chains due to geopolitical challenges. The forecast for African trade is exciting, but addressing infrastructural gaps, ensuring sustainable practices and navigating evolving trade relationships will be essential to realising the continent's immense trade potential. If challenges can be resolved, Africa's pivotal role in global trade dynamics is almost certain. Virusha Subban writes for #BizTrends24 Bizcommunity.com https://lnkd.in/ePyMejzY

African Export-Import Bank (Afreximbank) has unveiled its 2024 report. This confirms the resilience of the African economy and the potential impact of the African Continental Free Trade Area (AfCFTA) Secretariat in shielding the continent from global shocks. #Afreximbank #AAM2024 #Nassau #Bahamas #tradereport #economicoutlook #growth #AfCFTA #intraAfricantrade #economicrisks #Africa

Nigeria was to begin trade under the African Continental Free Trade Area's (AfCFTA) Guided Trade Initiative last month, and will soon flag off its first few shipments under the arrangement. As Nigeria positions itself within the AfCFTA, an examination of the past decade's trade data with Africa reveals why the country stands to benefit significantly. This graph presents a snapshot of Nigeria’s trade trends from 2013 to 2022. Key Insights: ▶ Robust Surplus: Despite fluctuations, Nigeria has consistently maintained a significant trade surplus with Africa, highlighted by the green-shaded area in our analysis. Nigeria's trade surplus with Africa proved resilient even when it experienced an overall trade deficit with the world. ▶ AfCFTA Potential: This enduring surplus positions Nigeria advantageously for the AfCFTA, promising to enhance its pivotal role in the African market through reduced trade barriers and expanded market access. ▶ Support for Producers: To fully capitalise on AfCFTA opportunities, it is crucial that Nigerian producers are supported to easily send goods to the African market and vice versa, ensuring the free flow of commerce under the new trade regime. As the AfCFTA aims to reshape the continent’s economic landscape by creating a single market for goods and services, Nigeria’s demonstrated trade strength could lead to even greater economic gains with the right policies and support. The recently announced Trade Single Window (https://trade.gov.ng/en/) is a step in the right direction, but will need to be implemented carefully and efficiently.

Watch #MENA in a Minute to learn about the latest #economic developments in the region. Sign up to our MENA blog: https://okt.to/j8dxvm Josefa Lavandero our, Senior Economist shares insights on: - Higher #oil prices - #Saudi’s trade balance - #UAE’s development #MIAM

𝗚𝗹𝗼𝗯𝗮𝗹 𝗧𝗿𝗮𝗱𝗲 𝗖𝗼𝘀𝘁𝘀 𝗥𝗶𝘀𝗲 𝗔𝘀 𝗦𝗔 𝗔𝘄𝗮𝗶𝘁𝘀 𝗔𝗴𝗼𝗮 𝗢𝘂𝘁𝗰𝗼𝗺𝗲 18 January 2024 - Global trade costs have risen this month, while South Africa awaited a decision on African Growth and Opportunity Act (Agoa), Investec chief economist Annabel Bishop said. This was after 2023’s slowing, and supply chain capacity had already seen a high level of underutilisation, although some container freight rates recently rose substantially as geopolitical tensions escalate. The latest data in the J.P. Morgan Global Manufacturing PMI survey saw a further fall in production in December, the seventh month in a row, as new business fell further, for the 18th month, and the pace of contraction overall quickened. With Agoa set to expire on September 2025, South Africa is on the list of eligible countries for a ten-year extension, but geopolitical tensions have raised concerns over the potential for it to actually gain renewal, given its stance towards some of the US’s adversaries. Bishop said, “Loss of free trade benefits mean SA’s exports would cost more in the US, which would reduce their competitiveness, in turn negatively impacting demand for these exported goods, weakening the trade balance and so the rand.” https://lnkd.in/drhhC9QG #southafrica #southafricabusiness #southafricanbusiness #tradecreditinsurance #receivablesmanagement #creditinsurance #tradeinsurance #exportinsurance #importinsurance

Intra-Africa trade as a share of Africa's global trade has remained somewhat stagnant. However, in terms of dollar value, it has grown from US$ 98 billion in 2013 to US$ 102 billion in 2022. The Economic Commission of Africa believes that the African Continental Free Trade Area (AfCFTA) could be a game-changer, estimating that intra-African trade could increase by as much as 35.6 percent in 2045 thanks to AfCFTA. To achieve this by 2045, the real question to be addressed is why intra-Africa trade as a percentage of Africa's global trade is performing poorly. Is a continental market all it takes? Discover our thoughts on this at https://lnkd.in/e6WP9_zD. #PuttruThinking

In the early months of 2024, global trade faced significant disruptions. Attacks on vessels in the Red Sea area led to a sharp decline in traffic through the Suez Canal, a critical artery for maritime trade between Asia and Europe, causing a 50 %drop in trade volume compared to the previous year. Meanwhile, on the other side of the globe, a severe drought at the Panama Canal resulted in restrictions that significantly reduced daily ship crossings since October, further slowing down maritime trade. These disruptions have not only distorted key macroeconomic indicators but also disrupted supply chains, highlighting the vulnerability of global trade routes to unforeseen events. Source: IMF PortWatch #Shipping #Trasporti #GlobalTrade #SuezCanal #PanamaCanal #ShippingDisruption