Agreement on the Free Trade Zone Signed by 44 African Countries

Forty-four African countries signed an agreement in Kigali on Wednesday that will enable the creation of a free trade zone, which is considered the foundation of Africa’s economic development, reported the African Union.

“The agreement establishing the African Continental Free Trade Area (AfCFTA) was signed by 44 countries,” said the Chairperson of the African Union Commission, Moussa Faki, concluding the summit of the organization held in the capital of Rwanda.

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One of the most economically developed countries in Africa, Nigeria, abstained from voting. Nigerian President Muhammadu Buhari decided not to travel to the summit in Kigali, explaining that he would “give more time for consultations in his own country” where there are opponents of the agreement.

Among the countries that did not sign the agreement are Eritrea, Burundi, Namibia, and Sierra Leone.

“Many African countries are reserved regarding the agreement and have not yet completed consultations at the national level. However, we will hold the next summit in July in Mauritania. We hope that all those who were reserved will sign the agreement then,” said the African Union Commissioner for Trade and Industry, Albert Muchanga.

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The AU estimates that by eliminating customs rules among AfCFTA members by 2022, trade will increase by 60 percent.

Currently, that figure stands at only 16 percent. For the agreement to come into force, the signatory countries must ratify it.