SADC develops a coordination framework to accelerate AfCFTA implementation

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The Southern African Development Community (SADC) Secretariat is going beyond the development of a strategy by developing a coordination framework to accelerate the implementation of the Africa Continental Free Trade Area (AfCFTA).

Speaking at the SADC-AfCFTA workshop in Harare today, a representative from Zimbabwe’s Ministry of Commerce and Industry said the African Continental Free Trade Area represents a transformative opportunity, a chance to reshape the economic landscape and to build a prosperous future for the people of Southern Africa.

“This workshop is crucial as we validate the SADC AfCFTA Coordination Plan Strategic Framework for 2025-2030, a roadmap that will guide our collective efforts in harnessing the vast potential of the AfCFTA. As we look at the overview of this strategic plan, we are reminded of our shared vision: A fully integrated, digitally connected Southern African region that leverages the AfCFTA to drive sustainable economic growth, industrialization, and improved livelihoods for all, with a special focus on empowering women and youth.

‘Our overall objective is clear: to facilitate the effective and coordinated implementation of the AfCFTA across all SADC Member States, ensuring that we maximize the benefits of continental free trade. This plan outlines specific objectives, including enhancing member states’ capacity, strengthening private sector participation, promoting regional value chains, and ensuring inclusive implementation.

“We are ambitious in our trade and economic goals. By 2030, we aim to significantly increase intra-SADC and intra-African trade, integrate thousands of SMEs into regional value chains, and achieve substantial women and youth participation. We also strive for digital integration, ensuring seamless connectivity and digital trade facilitation across the region,” she said.

In a speech read by Mr. Rongai Chizema, the AfCFTA Implementation and Coordination Expert on his behalf, H.E. Wamkele Mene, the Secretary-General for the AfCFTA Secretariat at the SADC-AfCFTA Coordination Plan Validation Workshop in Harare today, noted the positive traction on AfCFTA implementation in the sub-region, with more than 50% of the SADC membership having developed their AfCFTA Implementation strategies (DR Congo, Eswatini, Lesotho, Malawi, Mozambique, Zambia, and Zimbabwe).

“Currently, Botswana and Angola are seized with the development of their respective strategies with the support of the UNECA. It is therefore, not by coincidence that, the SADC Secretariat, decided to progress beyond the development of an implementation strategy, but rather focused on developing a coordination framework that leverages existing SP implementation initiatives, to maximise, and scale up interventions going forward,” Mr. Chizema said.

Pablo García Pérez, Program Officer of the European Union’s Technical Assistance Facility (EU-TAF) to Support the AfCFTA Program funded by the EU, said Regional Economic Communities (RECs) are fundamental to Africa’s economic development and integration, serving as building blocks for the African Continental Free Trade Area (AfCFTA).

“They provide frameworks for harmonizing policies, reducing trade barriers, and fostering cooperation among member states. The Southern African Development Community (SADC) is playing a pivotal role in regional integration. In its aim to promoting economic cooperation, political stability, and social development, SADC has driven initiatives like the SADC Free Trade Area (SFTA) and the SADC Protocol on Transport, Communications, and Meteorology.

“In SADC’s integration efforts is its active role in the development and validation of the SADC AfCFTA Coordination Plan, which is a roadmap
guiding the region’s effective participation in AfCFTA. In addition, SADC has been involved in reviewing the Tripartite Free Trade Agreement (TFTA) – AfCFTA Interface Report, which aims to ensure coherence between the two frameworks,” Perez said.

He added that the European Union remains fully committed to supporting its African partners in this endeavor, providing technical assistance, funding, and policy dialogue to advance economic integration.

Through initiatives like the EU-TAF program and collaborations with organizations such as FIIAPP, the EU reaffirms its dedication to reinforcing Africa’s regional and continental integration, recognizing that a stronger, more interconnected Africa benefits not only the continent itself but also the global economy as a whole.

“The Technical Assistance Facility that supports SADC in its work towards implementing the AfCFTA is currently implemented by GIZ, Expertise France and the already mentioned FIIAPP, and it’s funded by the European Union, Germany, France and Sweden, and other European countries (Denmark, the Netherlands, Finland and Ireland) have joined to support this project too. This intervention is therefore being carried out in a true spirit of “Team Europe” and as part of the Africa-Europe “Global Gateway” investment package announced at the Summit of African and European Heads of State in February 2022.”

The SADC coordination framework and strategy should result in SMEs integrating better and industrial competitiveness will increase so that SADC exports become sophisticated and diversified for a stronger global market.

Financial partnerships, mechanisms and digital payment systems give access to tailored financial products. This will reduce the barriers for SMEs to access finance. This way, businesses can scale up production and can also engage in cross-border trade leading to financial inclusion, increased trade flows and sustainable economic growth.

Under resource mobilization, there is a need for development partner engagement and blended finance. With strengthened resource mobilization, more funds will be available for the implementation of the agreement. Project financing capacity will improve, and so will trade enhancing initiatives and private sector investments.

This will result in resilient and sustainable financing for economic transformation. Under infrastructure, the assumption is that if our transport corridors and digital trade infrastructure standards are developed, we reduce costs of trade and improve our logistics.

When digital trade expands, businesses can operate more efficiently and effectively in regional and continental markets. This will result in deeper regional integration and sustainable infrastructure-driven growth.

With gender integration, trade facilitation, financial access initiatives strengthened, women and youth become more involved in trade and will have improved access to finance. Trade will become more inclusive and gender responsive. The participation of women and youth in inter-African trade leads to broader economic inclusion.

Strengthening regional economic communities like SADC and ensuring the successful implementation of AfCFTA are crucial steps toward fostering resilience, stability, and shared prosperity.

In a speech on her behalf, Sekai Kuvarika, the SADC Business Council Chairperson, said the private sector is the engine of economic growth.

“The establishment of the SADC Business Council in 2019 was a testament to our commitment to involve businesses in the regional integration agenda. Our mandate, derived from Article 5 (2b) of the SADC Treaty, emphasises the importance of engaging with the private sector to drive industrialisation, value chain development, and socio-economic progress,” Kuvarika said.

In October 2023, the SADC Business Council and the SADC Secretariat signed a Memorandum of Understanding to collaborate on infrastructure development, industrial growth, and human capital enhancement in the region. This partnership underscores the critical role that businesses play in shaping policies and driving economic initiatives.