The Japan International Cooperation Agency (JICA) signed a business cooperation agreement with the African Continental Free Trade Area (AfCFTA) Secretariat on December 5. The signature was exchanged at JICA Headquarters in Tokyo between JICA President Akihiko Tanaka and AfCFTA Executive Director Wamkele Menneh.
The AfCFTA is an initiative aimed at eliminating tariffs among African countries with the goal of unifying markets across the continent. The AfCFTA agreement for the establishment of this free trade zone has now been signed by all member states of the African Union (AU) except Eritrea, and will become operational in 2021.
The population within the free trade zone is the largest in the world at approximately 1.3 billion, and the operation of the AfCFTA is expected not only to stimulate intra-African trade, but also to contribute to sustainable economic and social development on the continent by creating employment opportunities and reducing poverty. The AfCFTA is positioned as the flagship project of the AU, which aims to promote regional integration in Africa, and the AfCFTA Secretariat was established in 2020 as an agency under the AU to promote and coordinate its efforts.
Under this working partnership agreement, the two institutions agreed to strengthen cooperation and promote specific activities in trade facilitation, corridor development, and the establishment of industrial value chains in the region, with the aim of improving the trade environment in Africa.
At the beginning of the signing ceremony, JICA President Tanaka stated that JICA attaches great importance to promoting cooperation in line with African ownership, understands the position of the AfCFTA as a top priority issue for the AU, and that JICA will cooperate to the maximum extent possible.
In response, Mr. Menet expressed his expectations for future collaboration with JICA, and said that he hoped to produce further results in areas that JICA has been working on, such as trade facilitation and corridor development.
JICA will strengthen cooperation with the AfCFTA Secretariat to develop cooperation in areas such as improving the trade environment and fostering industries that support free trade.
© Source JICA