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Why Intra-African Trade has Remained Subdued? Challenges and Solutions

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  • Lot Pato

    (Independent Researcher)

Abstract

Despite efforts by development institutions like African Union (AU) and other trade blocs in the region to spur economic growth through intra-trade, Africa’s intra-trade has remained subdued; although there is common consensus by development economists and practitioners, that intra-trade is the engine for economic growth and development. According to IMF (2012) from 2007-2011, intra-African trade accounted only 11% of Africa’s total trade, which is the lowest of any continent. This is reinforced by Asia and Europe which hit the 50% and 70% mark respectively. This is saddening on the notion that, by 2015, Africa’s population doubled that of Europe to hit 1,186 million, but Intra-African trade has remained subdued at $ 170 billion (which is 5% of intra-EU trade).

Suggested Citation

  • Lot Pato, 2018. "Why Intra-African Trade has Remained Subdued? Challenges and Solutions," Africagrowth Agenda, Africagrowth Institute, vol. 15(3), pages 28-29.
    • Handle: RePEc:afj:journ2:v:15:y:2018:i:3:p:28-29
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