Productive Transformation: An Engine of Africa’s Economic Integration and the AfCFTA

This chapter presents the AfCFTA analytically as the primary driver of Africa’s productive transformation, extending its benefits beyond mere trade liberalisation. Its strategic significance lies in its clear aim of dismantling the colonial legacy of small, fragmented economies and fostering production within regionally integrated value chains. This serves as a vital correction to the continent’s reliance on commodity exports and its marginal position in global trade. However, the chapter soberly assesses the substantial obstacles to this transformative agenda. The development of meaningful intra-African trade and competitive manufacturing is impeded not only by infrastructure deficits but also by political challenges, such as rising protectionism and the need for effective continental governance. Consequently, a single industrial policy is deemed unfeasible. The chapter concludes that the success of the AfCFTA is fundamentally political; its ability to promote productive transformation depends on establishing a unified political effort that can overcome internal divisions and coordinate a series of complementary national industrial strategies coherently. The chapter provides detailed accounts of African economic integration, its challenges, and key priorities.