Chief of Staff at the African Continental Free Trade Area (AfCFTA) Secretariat, Mr. Rui Pedro Afonso Livramento, has stressed that infrastructure remains one of the biggest obstacles to realizing Africa’s single market vision, as inefficient transport and logistics add 30 to 40 percent to intra-African trade costs.
Speaking at the press briefing for the 2025 African Prosperity Dialogues (APD), Mr. Livramento emphasized that while the AfCFTA has made remarkable progress in laying the groundwork for regional trade integration, persistent infrastructure deficits continue to hinder the movement of goods and services across the continent.
“The AfCFTA has made significant strides since its inception, including establishing a solid institutional framework and recording growth in trade under the Guided Trade Initiative,” he said.
“However, infrastructure remains a critical bottleneck. Inefficient transport and logistics add 30 to 40 per cent to intra-African trade costs, particularly affecting small and medium enterprises (SMEs).”
For African businesses, particularly SMEs that form the backbone of many economies, these inefficiencies are not just logistical concerns, they represent a major roadblock to competitiveness. With high transport costs, unreliable supply chains, and fragmented trade routes, businesses struggle to access wider markets across the continent.
In a world where seamless connectivity defines economic success, Africa’s persistent infrastructure challenges contrast sharply with the AfCFTA’s ambitious goal of creating the world’s largest single market, uniting 1.3 billion people across 54 countries.
The vision is an Africa where goods, services, and investments flow effortlessly across borders. But without addressing the gaps in transport, energy, and digital connectivity, the potential of this integration remains unrealized.
Recognizing the urgency, the AfCFTA Secretariat has championed the establishment of trade aggregators, a move designed to integrate SMEs into regional and continental value chains. These aggregators help consolidate goods from smaller producers, enabling bulk trading and reducing costs associated with fragmented supply networks.
Mr. Livramento commended the efforts of countries like China, Egypt, Kenya, and South Africa, which have taken the lead in infrastructure investment to support trade.
He emphasized that progress hinges on strengthening partnerships between governments, private-sector actors, and development partners to create an enabling environment for infrastructure development.
This year’s African Prosperity Dialogues (APD), scheduled from 30 January to 1 February 2025 in Accra, Ghana, will be a crucial forum for addressing these challenges.
Themed “Delivering the African Single Market Through Infrastructure: Invest, Connect, Integrate,” the dialogues will bring together over 3,000 delegates from 46 countries, including seven African Heads of State, policymakers, and industry leaders to accelerate infrastructure investments.
Key figures set to attend include Mesfin Tasew, Group CEO of Ethiopian Airlines; Ambassador Bridget Motsepe, a leading advocate for economic empowerment; and Dr. Abdulhamid Al Khalifa, President of the OPEC Fund.
These influential voices will contribute insights on how Africa can mobilize the resources needed to break down infrastructure barriers.
