July is on its way and The African Continental Free Trade Area (AfCFTA) is already gaining momentum. Oxford Business Group is not failing to spur the moment. The Group’s latest survey says about 72 % of African CEOs believe the AfCFTA will have a positive impact on intra-regional trade , and by extension their businesses.
A Breakdown of The Survey
- Named “Business Barometer 2019: Africa CEO survey,” the survey was conducted on a face-to-face basis with 787 African CEOs .
- The survey also revealed that 84% of them have positive expectations of local business conditions in the coming twelve months.
- The respondents’ companies are based in eight African countries namely, Morocco, Kenya, Nigeria, Egypt, Ghana, Djibouti, Algeria and Côte d’Ivoire.
- 78% of them indicated that their firms were planning at least one significant investment in the next twelve months.
- 38% think that the factor that will most likely affect their economy would be a rise in oil prices.
- The second factor is political or security instability in neighboring countries, according to 23% of the respondents.
- Interrogated on the most needed skills in their countries, 36% of the respondents revealed that leadership was most needed while research, development and engineering were chosen by 14% as the most needed competence.
The Business Barometer of OBG is according to data collected obtained from companies that fall into the following parameters, among others:
-17% of companies surveyed were based in Morocco
-16% of companies surveyed were based in Nigeria
-15% of companies surveyed were based in Egypt
-13% of companies surveyed were based in Côte d’Ivoire
-13% of companies surveyed were based in Ghana
-12% of companies surveyed were based in Algeria
-11% of companies surveyed were based in Kenya
-5% of companies surveyed were based in Djibouti
Ghana, Egypt Lobby For Continental Free Trade Headquarters
- Ghana is one of the six African countries that is bidding for CFTA to be hosted by them.
- Aside Ghana, other countries bidding to host CFTA Secretariat are Ethiopia, Eswatini (formerly Swaziland), Madagascar, Kenya, and Senegal.
Ghana’s Information Minister, Mr Kojo Oppong Nkrumah, on behalf of the Ghanaian government, received the 10-man AU delegation led by Ambassador Rosette Nyirinkindi Katungye, an advisor on Regional Integration at the Bureau of the office of the AU Chairperson, shortly after they arrived at the Kotoka International Airport.
Related: More Revealing Facts About the African Free Trade Agreement and Why Nigeria is Out
Mr Nkrumah said Ghana was looking forward to grabbing the opportunity which comes with several benefits, including the creation of jobs.
“In the coming days, Ghanaian officials will take them round on an inspection to show our preparedness. If you have the secretariat in your country, it is a huge deal which will bring many opportunities for the growth of this country,” Mr Nkrumah said.
The Africa Continental Free Trade Area is a planned free trade area outlined in the Continental Free Trade Agreement among 49 of the 55 AU nations.
Ghana’s President Nana Addo Dankwa Akufo-Addo, in March last year, appended his signature to the three legal instruments, namely the agreement establishing the Continental Free Trade Area; the Protocol on Free Movement of Persons and the Kigali Declaration which have brought the CFTA into fruition.
Charles Rapulu Udoh
Charles Rapulu Udoh, a Lagos-based Lawyer with special focus on Business Law, Intellectual Property Rights, Entertainment and Technology Law. He is also an award-winning writer. Working for notable organisations so far has exposed him to some of industry best practices in business, finance strategies, law, dispute resolution and data analytics both in Nigeria and across the world.