The vision of African regional integration, born out of the pan-African movement, remains as relevant today as it was when 32 Heads of independent African States met in Addis Ababa, Ethiopia in 1963. Their historic gathering led to the signing of the Charter that created Africa’s first post-independence continental institution, The Organisation of African Unity (OAU), now the African Union (AU). This vision was further solidified with the African Economic Community (AEC) Treaty, adopted by the AU in 1991 and brought into force in 1994, serving as the blueprint for our continent-wide integration agenda.
A pivotal moment in this journey came in 2018 with the signing of the African Continental Free Trade Area (AfCFTA) agreement by 44 African countries at an Extraordinary Summit of the Assembly of the African Union. This landmark agreement set the stage for accelerating the implementation of the AEC Treaty, marking a new chapter in our integration efforts.
While the progress in African integration over the years has been encouraging, we acknowledge that there is still
much to be done. The multiple shocks experienced by our region in recent times have brought a renewed impetus and heightened appreciation for the need to establish closer regional economic ties and deepen integration. As we reflect on our collective journey and the challenges that lie ahead, we recognise both the strides taken and the obstacles that remain in realising our integration goals.
Navigating Complex Global and Regional Dynamics
The past year has seen African economies continue to face a complex web of challenges. While the immediate impacts of the COVID-19 pandemic have waned, we now grapple with the repercussions of global economic shifts, including persistent supply chain disruptions, inflationary pressures, and the ongoing effects of climate change. These factors have moderated the continent’s growth trajectory, with real GDP growth estimates for 2023 falling short of earlier projections.
However, amidst these challenges, Africa’s resilience shines through. The African Development Bank’s latest African Economic Outlook projects that our continent will maintain its position as the second-fastest growing region globally in 2024-25. This resilience underscores the importance and potential of our ongoing integration efforts.
Strategies for Sustainable Growth and Integration
Our strategies remain centred on deepening regional integration and boosting intra-African trade. Key focus areas
include:
1. Accelerating the implementation of the AfCFTA, with emphasis on reducing non-tariff barriers and
harmonising trade policies.
2. Investing in digital infrastructure to support cross-border trade and financial integration.
3. Developing regional value chains, particularly in sectors aligned with the green economy and sustainable industrialisation.
4. Leveraging climate finance opportunities to support resilient and sustainable development across the continent.
The NBF’s Role in Advancing Integration
The NEPAD Business Foundation continues to play a crucial role in these efforts. Our initiatives align closely with
regional and continental priorities:
1. Digital Transformation: We’re intensifying efforts to reduce barriers to digital adoption along key economic
corridors, recognising technology’s role in facilitating trade and integration.
2. Climate Resilience: Our programmes increasingly focus on supporting green growth initiatives and helping
businesses adapt to climate change impacts.
3. Value Chain Development: We’re actively promoting the development of regional value chains, with a particular emphasis on sectors that can drive sustainable industrialisation.
4. Public-Private Collaboration: We continue to serve as a bridge between public and private sectors, facilitating dialogue and partnerships crucial for realising integration goals.
The Path Forward: Collaboration for Impact
As we look to the future, the importance of regional integration in driving Africa’s economic recovery and long-term growth cannot be overstated. The challenges we face – from climate change to global economic uncertainties – underscore the need for a united African approach.
The private sector’s role in this journey remains pivotal. We call on businesses across the continent to see regional
integration not just as a policy goal, but as an opportunity for growth and innovation. Simultaneously, we urge public sector partners to continue creating enabling environments that foster cross-border collaboration and investment.
The NBF stands ready to support these efforts, leveraging our networks and expertise to bridge gaps and catalyse
action. By working together – across sectors, borders, and communities – we can turn the vision of an integrated,
prosperous Africa into reality.
Thank you for your continued support and belief in Africa’s potential. Together, we can build a more resilient,
integrated, and prosperous continent for all.
Sabine Dall’Omo
CEO – Siemens Southern and Eastern Africa
Vice Chairperson – NEPAD Business Foundation