Positioning MSMEs to trade under AfCFTA

Kenya's Micro, Small, and Medium Enterprises (MSMEs) are gearing up to leverage the benefits of the Africa Continental Free Trade Area (AfCFTA) agreement, as the government focuses on bottom-up economic transformation to empower vulnerable groups in the economy. In a recent interview with CNBC Africa, Susan Auma Mang'eni, the Principal Secretary for MSMEs development in Kenya, highlighted the administration's approach to unlocking credit access and removing barriers for individuals at the grassroots level. The government's efforts are aimed at ensuring that young people, women, and persons with disabilities can actively participate in the economy and benefit from trade opportunities under the AfCFTA. The AfCFTA presents a significant opportunity for MSMEs to expand their businesses, access new markets, and contribute to economic growth in Kenya. With the potential for increased intra-Africa trade and reduced tariff barriers, MSMEs are poised to thrive in a more integrated African market. This alignment with the goals of Agenda 2063, which envisions a prosperous and united Africa, underscores the importance of empowering MSMEs to participate in regional trade. Key stakeholders in Kenya, including government agencies, industry associations, and financial institutions, are working together to support MSMEs in preparing for the challenges and opportunities that come with AfCFTA implementation. Capacity building, access to finance, market information, and technology adoption are crucial areas of focus to enhance the competitiveness of MSMEs and ensure their sustainable growth. As Kenya positions its MSMEs to take advantage of the AfCFTA, collaboration with other African countries will be essential for fostering trade partnerships and unlocking cross-border opportunities. By building networks, sharing best practices, and streamlining trade processes, MSMEs can overcome barriers to entry and scale their businesses in a dynamic regional market. In conclusion, the AfCFTA represents a new chapter for MSMEs in Kenya, offering a platform for growth, innovation, and collaboration. With the government's commitment to inclusive economic development and empowerment of marginalized groups, MSMEs are well-positioned to drive economic transformation and contribute to the realization of Africa's collective vision for a prosperous and sustainable future.