Thursday, September 9, 2021

Tanzania ratifies treaty for Africa free trade area

DODOMA, Tanzania

Tanzania government on Thursday September 9 ratified the agreement establishing the African Continental Free Trade Area (AfCFTA), effectively joining a pact connecting countries with a total gross domestic product $3.4 trillion.

Minister of Industry and Trade, Kitila Mkumbo, made the announcement via Twitter, noting the country has joined a market of 1.2 billion customers.

Pleased to announce that today, the 9th of September 2021, the Parliament of the United Republic of Tanzania has RATIFIED the Agreement Establishing the African Continental Free Trade Area (AfCFTA), effectively joining the 1.2 bilion market and USD 3.4 trillion African economy!” Said Mkumbo.

The AfCFTA is the African continent’s most ambitious integration initiative, embedded in the Agenda 2063 of the African Union, whose main objective is to create a single continental market for goods and services with free movement of people and investments, thus expanding intra-African trade across the continent, enhancing competitiveness and supporting economic transformation in Africa.

It is expected to increase intra-Africa trade from an existing level of about 13% to 25% or more through better harmonisation and coordination of trade liberalisation. This will be driven forward by the complementary Single African Air Transport Market and the Protocol on Free Movement of Persons.

AfCTA was first opened for signing in April 2018 but came into application in 2019 after the requisite minimum of 21 of the 55 member states ratified it.

Tanzania had not formally joined although former President John Magufuli signed on the agreement in 2019.

After signing, parliamentary approval is required for ratification of the agreement.

The ratification is an indicator of President Suluhu Hassan's intention to return the country to regional integration. - Africa

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