Strengthening U.S.-Africa economic partnerships in regional value chain development

As Africa aims for industrial growth, the United States has a unique opportunity to deepen economic ties with the continent through regional value chains. In a recent interview with CNBC Africa, Kendra Gaither, President of the U.S.-Africa Business Center, emphasized the need to boost trade and investment in key sectors such as artificial intelligence (AI), technology, and energy. Gaither highlighted the importance of raising awareness among U.S. companies about the vast business opportunities in Africa and encouraging their involvement in developing regional value chains. The U.S.-Africa Business Center, part of the U.S. Chamber of Commerce, plays a pivotal role in fostering closer trade and investment partnerships between the U.S. and Africa by organizing delegations to the continent and facilitating engagement between executives and investors. Gaither stressed the significance of leveraging platforms like the African Growth and Opportunity Act (AGOA) while seeking to expand beyond its current framework towards a more robust and sustainable economic relationship. She emphasized the vital role of financing in driving trade and investment on the continent, highlighting the infrastructure gap that requires substantial annual investments. Gaither underscored the importance of collaboration between U.S. investors, financial institutions, and African enterprises to unlock capital flows into priority sectors. In response to questions about the U.S. aid funding freeze for Africa, Gaither expressed optimism that the temporary freeze would not impede critical support for initiatives aimed at bolstering electrification and power across the continent. She advocated for partnerships over aid reliance, emphasizing the need for sustainable economic engagement. Gaither also discussed the role of U.S. companies and institutions in supporting skilled development and technology transfer to advance Africa's industrialization and digital transformation goals. She highlighted the innovative capacity of African youth and the potential for U.S. entities to collaborate in driving innovation and contributing to Africa's growth story. Overall, Gaither's insights underscore the significant opportunities for strengthening U.S.-Africa economic partnerships through strategic collaboration and investment in key sectors.