Unpacking the AfCFTA adjustment fund

The second edition of the Africa continental free trade area, AfCFTA Business Forum dubbed Biashara Afrika is currently underway in Kigali, Rwanda. Under the theme "dare to invent the future we want for Africa", the forum has brought together key stakeholders to discuss the possibilities and progress of the AfCFTA six years after the agreement was signed. CNBC Africa's Flora Limukii sat down with Antoine Kajangwe, the Permanent Secretary for the Ministry of Trade and Industry in Rwanda, to shed light on the AfCFTA Adjustment Fund and its significance. At the core of the discussions at the forum is the AfCFTA Adjustment Fund, a crucial instrument designed to mitigate the impact of tariff liberalization resulting from the removal of customs duties. The fund, hosted in Kigali, Rwanda, aims to support governments and the private sector in adjusting to liberalization, fostering growth, and enabling them to seize the opportunities presented by the AfCFTA market. By providing concessional and commercial financing, the Fund is expected to catalyze economic growth and development across the continent. Kajangwe highlighted Rwanda's preparedness in terms of resource mobilization and public-private partnerships to maximize the benefits for African businesses. The AfCFTA Adjustment Fund, capitalized with $1 billion by the African Export-Import Bank, is poised to attract more resources to support businesses not only in Rwanda but across the continent. With a conducive business environment and a burgeoning financial ecosystem, Rwanda is well-positioned to serve as a regional financial hub, facilitating access to financing and fostering trade and investment opportunities. The choice of Rwanda as the host country for the Biashara Afrika forum underscores its status as a premier meetings destination and a key trade and investment hub. The forum not only showcases Rwanda's commitment to championing the AfCFTA but also reinforces its role in driving private sector engagement and economic growth. Through leadership and collaboration, Rwanda aims to play a pivotal role in realizing the potential of the AfCFTA and creating a conducive environment for businesses to thrive on the continent. In conclusion, the AfCFTA Business Forum in Kigali, Rwanda, serves as a platform for stakeholders to delve into the transformative potential of the AfCFTA and explore opportunities for sustainable economic development. With the AfCFTA Adjustment Fund at the forefront, the forum aims to drive inclusive growth, foster innovation, and pave the way for a brighter future for Africa's trading landscape.