The 8th Forum on China-Africa Cooperation (FOCAC) was recently held in Dakar, Senegal, bringing together high-level officials from China and African countries to discuss cooperation in various areas, including trade facilitation. A new report by Development Reimagined analyzes the trade facilitation initiatives announced at FOCAC 8 and assesses their potential impact.
The report highlights a shift in cooperation between Africa and China to a more market-oriented, mutually beneficial trade and investment partnership. Three trade facilitation commitments from FOCAC 8 are evaluated, including online shopping festivals promoting African brands, promotion of green trade and investment, and China’s pledge of US$ $10 billion in credit lines to African financial institutions to support SMEs exporting to China.
The report finds that these initiatives have the potential to promote inclusive and sustainable economic growth in Africa, by boosting exports, improving the business environment, reducing trade costs, and supporting green development. However, challenges remain, such as the need for clear details on China’s pledge of US$ $10 billion in credit lines.
Development Reimagined offers two critical recommendations for immediate action:
- Expanding the scope of the products heavily promoted during e-commerce shopping festivals,
- Increasing access to Green Lanes, and increasing financing for African producers to obtain and use the technology needed to meet China’s SPS requirements.
These commitments are vital in the context of the African Continental Free Trade Agreement (AfCFTA), which aims to stimulate increased intra-African trade and lead to a shift in Africa’s global trade positioning. Don’t miss this opportunity to learn about the potential impact of these trade facilitation initiatives and their implications for African businesses. Read the full report now.
The report is available to download in English here.