UNDP: How the AfCFTA can accelerate growth of e-commerce in Africa

The Africa Continental Free Trade Agreement (AfCFTA) has sparked a wave of enthusiasm and expectation among e-commerce entrepreneurs in Africa. Dr. Ify Ogo, a Regional Coordination Specialist at the United Nations Development Programme, shed light on how the AfCFTA can power e-commerce growth on the continent. The AfCFTA aims to establish clear and predictable rules for cross-border trade, including e-platforms, goods bought online, and trade formalities. This framework sets the stage for increased cross-border trade, partnerships, and scaling opportunities for e-commerce players. Dr. Ogo highlighted key trends such as the rise of e-schools, e-health, and e-investment post-COVID-19, indicating a shift towards digital services and cross-border transactions within Africa. However, she also acknowledged the existing digital divide and outlined the need to address challenges such as access to technology, internet costs, and taxation to ensure a level playing field for all players. Despite these challenges, Dr. Ogo emphasized the vast opportunities that the AfCFTA presents for e-commerce entrepreneurs to expand their reach, source locally, and collaborate within the continent. She stressed the importance of creating an enabling environment through clear policy recommendations to support the growth of e-commerce under the AfCFTA. In conclusion, leveraging the AfCFTA to drive e-commerce growth in Africa requires collaborative efforts from governments, stakeholders, and industry players to address challenges, seize opportunities, and propel the digital economy forward.