Business leaders push to increase trade among African nations

African businesses have been urged to take advantage of the African Continental Free Trade Area (AfCFTA) to boost intra-continental trade, which remains low despite the continent’s market of 1.5 billion people.

Speaking at the Africa Commerce and Industry Summit 2026 (ACIS 2026) in Nairobi, Kenya, National Chamber of Commerce and Industry (KNCCI) president Eric Rutto said intra-African trade accounts for only 16 to 18 per cent of the continent’s total trade, compared with 66 to 70 per cent in Europe and about 60 per cent in Asia.

Rutto said Africa was underperforming relative to its economic potential, citing transport bottlenecks, high energy costs and inadequate infrastructure as major barriers to trade.

“If we are to prorate the potential of Africa, comparing the two leading economies of China and America, which total approximately 50 million, Africa, with a population of 1.5 billion people and a land area of 30 million square kilometres, should be double the two leading economies,” Rutto said.

He added that Africa’s economic potential could reach $100 trillion, arguing that businesses must play a greater role in unlocking opportunities created by the AfCFTA.

“The private business people are the ones who can push that percentage up, taking advantage of the AfCFTA,” he said.

The three-day summit, organised by KNCCI and the government, kicked off on Wednesday under the theme 'Driving Africa’s Next Era of Trade' and brought together more than 5,000 delegates, including investors from over 50 countries, as the chamber marks 60 years of operation.

Cynthia Gnassingbe-Essonam, director of private sector engagement and communications at the AfCFTA Secretariat, identified transport and logistics, automotive, pharmaceuticals, and agriculture and agro-processing as priority sectors for expanding trade across the continent.

She cited Kenya’s exports of tea and batteries to Ghana under the AfCFTA Guided Trade Initiative, launched in 2022, as evidence that the continental trade framework is operational and needs to be scaled up.

Trade and Industry Cabinet Secretary Lee Kinyanjui said African countries must make it easier for products from one country to access markets in another by removing unnecessary trade barriers.

He said governments had a key role in opening markets, improving transport links, strengthening public services and infrastructure, and facilitating the movement of goods and capital.

“This can be done through providing efficient routes, public services, reliable infrastructure and a skilled workforce, as businesses do come up with factories, farms, warehouses, digital platforms and financial products,” said Kinyanjui.

Kinyanjui said Kenya was investing in energy and logistics, including a planned expansion of Jomo Kenyatta International Airport, while targeting electricity generation capacity of 10,000 megawatts by 2029.

The country has also simplified entry requirements through its Electronic Travel Authorisation system.

He added that Kenya’s foreign direct investment had doubled over the past three years, with further growth expected over the next two years.

Meanwhile, the Pan African Chamber of Commerce and Industry (PACCI) is developing Chamber Africa Connect, a digital platform designed to link African chambers of commerce, businesses and professionals to facilitate trade.

PACCI Executive Director Kebour Ghenna said the platform had been developed and piloted in 10 countries, with stakeholders being invited to contribute ideas before its phased rollout.

“We have developed the application and it is based on a phased launch and at this stage we have put up a green paper to invite people to give ideas on the concept,” he said.

At the summit, the Nairobi Securities Exchange (NSE) and KNCCI also signed a memorandum of understanding to help Kenyan businesses improve corporate governance and financial reporting, making them more attractive to investors.

Through the Ngazi programme, the two institutions will help businesses access financing through private investment, corporate bonds and private markets, while preparing eligible firms for eventual public listings.

jwanzala@standardmedia.co.ke