Chief Economist Andrew Dabalen Urges Legal Harmonization and Regional Integration at African Union Assembly Hall Presentation
By Staff Writer
(Nairobi, Kenya) — A report by the World Bank released at the African Union Assembly Hall reveals that African nations continue to lag behind other global regions in intra-continental trade connectivity.
While other continents actively strengthen internal economic ties, intra-African trade accounts for just 10 percent of the continent’s total commerce, leaving 90 percent of trade conducted with external global markets.
Andrew Dabalen, the World Bank’s Chief Economist for the Africa Region, explained during the presentation that the primary purpose of the 135-page report is to assist African economies in moving away from a highly fragmented domestic trading model toward genuine regional integration.
Dabalen noted that the common practice across the continent remains focused on commerce within individual national borders. To transition beyond this localized pattern, African nations must establish binding agreements on product integration and cross-border trade. This requires reforming restrictive national laws that function as trade barriers and establishing dedicated institutions to manage shared commercial frameworks.
Addressing current regional frameworks, Dabalen highlighted that the African Continental Free Trade Area (AfCFTA) agreement offers a beneficial structure for trade integration. However, World Bank findings indicate that many African countries maintain domestic trade legislation that actively prevents them from trading with neighboring states, making legal harmonization an urgent necessity.
The report also details a stark structural divide in the nature of Africa’s exports. Raw industrial materials account for 52 percent of exports sent to other global regions, whereas manufactured goods make up 60 percent of products traded between African countries themselves.
The 135-page document provides a comprehensive analysis of the core challenges obstructing intra-African trade alongside strategic solutions to drive regional industrialization.
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