Home » News: Intra-African Trade Hits All-Time High of $220 Billion Amid Economic Recovery

News: Intra-African Trade Hits All-Time High of $220 Billion Amid Economic Recovery

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Intra-African Trade

Intra-African trade reached an unprecedented $220.3 billion in 2024, reflecting a strong 12.4% growth as key economies across the continent rebound from recent downturns.

The surge signals renewed momentum in regional commerce and growing confidence in the African Continental Free Trade Area (AfCFTA) framework.

According to msn.com, this surge, coming after a 5.9 percent contraction in 2023, signalled a turnaround driven by economic recovery across key economies on the continent, fuelling both consumption and production.

The upward trend bodes well for millions of Africans who are banking on enhanced intra-continental trade to create jobs and improve livelihoods.

READ: News: Africa Unveils PAPSSCARD, First Continental Payment Card to Boost Intra-African Trade

According to data from the African Export-Import Bank (Afreximbank), the remarkable growth was primarily propelled by stronger performances in Africa’s largest economies: South Africa, Nigeria, and Morocco – all leading players in intra-African commerce.“In 2024, intra-African trade demonstrated a gradual yet consistent advancement toward deeper continental integration, even amid global economic uncertainties,” noted Afreximbank in its annual trade report for 2025.

The report highlighted that this “robust growth” directly contrasts with the contraction experienced in 2023, with the strong showing from Nigeria and Morocco offsetting weaker performances in Ethiopia and Côte d’Ivoire.

READ: News: South Africa, Nigeria, Congo Leads As Intra-African Trade Hits $220.3 Billion in 2024, Up 12.4% After Challenging Year

The report highlighted that this “robust growth” directly contrasts with the contraction experienced in 2023, with the strong showing from Nigeria and Morocco offsetting weaker performances in Ethiopia and Côte d’Ivoire.

In 2023, intra-African trade dipped to $196 billion from $208 billion in 2022, a period marked by sluggish demand and production, compounded by a “cocktail of economic challenges,” including tariff barriers and geopolitical tensions. Most of these difficulties have now eased, fostering a more conducive environment for cross-border trade.

Read: Intra-Africa trade falls to $190bn hit by tariff barriers, geopolitical tensions, sluggish growthThe data shows South Africa continues to dominate the intra-African trade landscape. Its trade with the continent rose by 7.5 percent last year, from $39 billion in 2023 to $42 billion, accounting for a staggering 19.3 percent of total intra-African trade – the highest on the continent.

In a significant shift, Nigeria overtook the Democratic Republic of Congo (DRC) to become the second-leading intra-African trading nation. Nigeria more than doubled its trade with the continent to $18.4 billion, now representing 8.3 percent of the total.

DRC, despite being a regional powerhouse, now ranks third continent-wide. It posted a modest 6 percent growth in its African trade last year, reaching $11.4 billion from $10.8 billion in 2023.

Afreximbank attributes the DRC’s strong performance to its geographical centrality, sharing borders with at least nine countries, including Uganda, Rwanda, Burundi, Tanzania, and South Sudan, alongside improved rail transport links.“Democratic Republic of Congo’s geographical centrality and vast borders with nine African countries have made it a vital player in cross-border trade,” Afreximbank noted.

South Africa remains the DRC’s principal trading partner within the region, with trade flows boosted by improved rail connectivity via the Durban and Dar es Salaam corridors.

Within the East African region, Uganda stands out as the only country among the top 10 intra-African traders, securing ninth position in 2024 with total trade of $7.6 billion – a 28 percent rise from $5.9 billion in 2023.

Kenya follows at position 14 with $5.7 billion in intra-African trade in 2024, ahead of Tanzania ($5.28 billion), Rwanda ($2.59 billion), South Sudan ($1 billion), Somalia ($600 million), and Burundi ($440 million).

Beyond economic recovery, increased diversification of export commodities is also fuelling the trade surge. While primary commodities like mineral fuels and agricultural products still dominate, there is a growing exchange of manufactured goods.

Afreximbank noted: “While energy products remain a foundational pillar of Africa’s intra-regional trade, ongoing efforts to strengthen industrial value chains, enhance logistics connectivity, and boost manufacturing capacities are gradually shifting the trade profile toward higher value-added and technology-intensive products.”The surge in intra-African trade rekindles optimism for the accelerated adoption and implementation of the African Continental Free Trade Area (AfCFTA).

This ambitious initiative envisions a continent free of trade barriers, promising to create 14 million jobs, lift 50 million Africans from poverty, and boost the continent’s economy by an estimated $450 billion annually at full implementation.

Collapse borders to promote trade, African leaders urgeAs of last year, seven countries had commenced trading under the AfCFTA protocol: Kenya, Ghana, Rwanda, Tanzania, Mauritius, Egypt, and South Africa, which made its maiden exports under the framework in 2024.

Despite the positive momentum, both exports and imports within Africa remain significantly below their estimated potential, highlighting substantial room for further growth.

In 2024, intra-African exports fell short of potential by an estimated $77 billion, which could have elevated total intra-African trade to $296.3 billion – nearly 20 percent of Africa’s total trade last year.

The bank identifies key product categories with the greatest untapped export potential within Africa, including machinery, electricity, motor vehicles and parts, food products, minerals, beauty products, chemicals, plastic and rubber, ferrous metals, pearls and precious stones, and fertiliser. Realising this potential will be crucial for Africa’s continued economic transformation.

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