Suvira Africa Demands Immediate AfCFTA Reforms to Empower African Entrepreneurs

Pan-African free market advocacy group Suvira Africa has called for urgent reforms to the African Continental Free Trade Area (AfCFTA) to unlock economic opportunities for African entrepreneurs, youth, SMEs, and informal traders.

Charles Nyakumbo, Executive Director of Suvira Africa, highlighted the human cost of trade inefficiencies:

“Africa is rich, Africa is great, but her people are still languishing in poverty. If my mother in the village could create wealth sustainably, and others could do the same, Africa would truly be a great continent. Yet the environment does not allow us to do business with ease. Policies exist, but they do not speak to the needs of the common person.”

The call came during Suvira Africa’s Policy Round Table, which convened economists, trade experts, lawyers, policy analysts, and IT specialists to examine the structural bottlenecks affecting intra-African trade.

Trade Barriers are Hindering Africa’s Progress

International trade lawyer Linda Kavuka said of the challenges:

“‘Africa’s Golden Beginning’ is having a hard time taking off. Delays at borders, duplication of standards, political instability, and infrastructure challenges are causing administrative barriers that are slowing down trade and adding costs to businesses. Protectionism, poor value chains, and a lack of focus from governments are some of the challenges that are slowing down AfCFTA, with MSMEs and the population at large being excluded from the processes.”

Experts identified some of the major challenges that are hindering the AfCFTA’s progress:

• Administrative Delays: Delays at borders, duplication of standards, political instability, and fragmented infrastructure are causing administrative barriers that are slowing down trade and adding costs to businesses.
• SME and Youth Inclusion: Delays in paperwork, restrictions on bank transactions, and lack of awareness of systems such as PAPSS are causing challenges for the inclusion of SMEs and the youth.
• Trust Deficiencies: The digital marketplace has suffered from a lack of connectivity, monopolies around infrastructure, cyber security issues and the inconsistencies of cross-border electronic commerce have led to a distrustful marketplace.
• Financial Inefficiencies: Delays in cross-border payment systems are causing costs, especially for the youth entrepreneur.

Patricia Mutiso, an international trade law and capital markets specialist, highlighted solutions:

“The future of Africa is tied to trade, not aid. By standardizing rules of origin, streamlining trade regimes, and leveraging the potential of services liberalization and digital solutions like PAPSS, we can ensure that women, youth, and entrepreneurs are included, and Africa holds the keys to its economic destiny.”

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Recommended Reforms for a Vibrant AfCFTA

Suvira Africa recommended reforms:

• Develop a single digital trade platform integrating customs, immigration, tax, and standards.
• Establish identical rules to reduce the amount of duplicative regulations and cut compliance costs.
• Expand the reach of PAPSS for low-cost and instant payments.
• Simplify the processes for submitting trade documents to improve digital literacy.
• Develop inclusive regulatory framework for informal businesses and small and mid-sized enterprises (SMEs).
• Accelerate free movement regimes and decentralize trade support services.

Kwame Owino, CEO of the Institute of Economic Affairs Kenya, warned:

“AfCFTA’s importance is in its potential, not its reality. The continent will suffer from self-inflicted trade failures without tackling low productivity, infrastructure, and political hesitation.”

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Suvira Africa’s Commitment to Africa’s Trade Future

Suvira Africa reaffirmed its dedication to inclusive, innovative, and workable solutions for AfCFTA.

By addressing systemic trade challenges and embracing free markets supported by digital innovation, the organization believes Africa can turn agreements into real economic growth and integration.

“If Africa does not increase production through innovation and investments that boost our productive capacities, we will end up trading the same low-value commodities under AfCFTA instead of building competitive, value-added industries,” Nyakumbo concluded.

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Suvira Africa’s Policy Round Table, which convened economists, trade experts, lawyers, policy analysts, and IT specialists at Four Points by Sheraton Hotel in Nairobi. PHOTO/ Suvira Africa.