Cameroon Needs to Maximize AfCFTA’s Benefits for Sustainable Economic Growth- Nkafu Policy Institute Experts

By Boris Esono Nwenfor

YAOUNDE, Cameroon – Experts at the Nkafu Policy Institute, a think tank at the Denis and Lenora Foretia Foundation have urged the Cameroon government to maintain a stable political environment, promote good governance and ensure that investors have access to a clear and predictable regulatory framework, to fully enjoy the African Continental Free Trade Area (AfCFTA). By doing this, Cameroon can maximize the benefits of AfCFTA and promote sustainable economic growth and development.

The experts were speaking on Wednesday, April 24, 2024, following a press conference organized by the think tank on Promoting the Implementation of the African Continental Free Trade Area in Cameroon. The research supported by the Initiative for African Trade and Prosperity (IATP), aimed at analyzing and evaluating the government's efforts and identifying the remaining challenges to be overcome in the implementation of the AfCFTA.

On March 21, 2018, Cameroon, along with 43 African Union countries convened in Kigali, Rwanda, and signed the agreement establishing the African Continental Free Trade Area (AfCFTA). In June 2019, Cameroon's National Assembly and Senate passed a bill authorizing the President of the Republic to ratify the AfCFTA agreement. On October 31, 2019, Decree N°2019/586 ratifying the agreement was signed, making Cameroon one of 54 countries to sign this historic trade agreement in Africa.

Dr Jean Cedric Kouam, Director of the Economics Affairs Division and Head of the Fiscal and Monetary Policy Sub-section at the Nkafu Policy Institute said: “We need to facilitate access to the internet because statistics from the National Institute of Statistics show that only 12.7 million Cameroonians have access to the internet. We need to improve in this sector because most of the trade can be done through digital platforms. The issue of electricity supply has to be improved upon too. We are also too dependent on Western countries for our optic fibres. We also need to improve on the aspect of cyber security.”

According to the Nkafu Policy Institute, it is necessary to understand the key role of the digital and financial sectors in the successful implementation of the African Free Trade Area in Cameroon, as well as the need for a startup act in the country to leverage the contribution of these sectors,

There is a need to understand the role of the Regional Economic Communities (RECs) in advancing the ZLECAf agenda in Cameroon and to seize the opportunities to accelerate national economic growth, foster regional cooperation, and shape the future of the country's bilateral and multilateral trade relations with the rest of the world while investing in infrastructure to improve transport networks, communication systems, and energy supplies to enable national businesses to better participate in continental trade.

Another key economic policy recommendation is for the government to streamline customs procedures and improve the efficiency of border crossings which are key to reducing trade-related delays and costs. The government is also called upon to guarantee product standards and quality to meet the demands of international markets. This can be done by investing in quality control infrastructure, such as testing and certification facilities, to ensure that its products meet the standards of AfCFTA member countries.

About the Denis & Lenora Foretia Foundation

The Denis and Lenora Foretia Foundation was created in 2012, to catalyze Africa's economic transformation by focusing on social entrepreneurship, science and technology, innovation, public health, and progressive policies that create and expand economic opportunities for all.

About the Nkafu Policy Institute

The Nkafu Policy Institute is a Think Tank within the Foundation that focuses on using independent analysis to inform public debate. Its mission is to advance public policies that help all Africans prosper in free, fair, and democratic economies. The Institute has distinguished itself as a leading research centre in Cameroon, committed to promoting open debate that builds consensus toward a democratic future. Dr. Denis Foretia is the Executive Chairman of the Nkafu Policy Institute and its Executive Director is Dr. Merlin Mfondo. This work at the Nkafu Policy Institute on promoting the implementation of the African Continental Free Trade Area in Cameroon is led by Dr Jean Cedric Kouam, Director of Economic Affairs.

About the IATP

The mission of the Initiative for African Trade and Prosperity (IATP) is to champion free market policies by supporting those in Africa who are best positioned to make a change. The Initiative is guided by the core belief that bottom-up free market policies are the most effective way to alleviate poverty, amplify individual liberty, and create a more peaceful future.