AfCFTA needs efficient payment systems, borders and infrastructure to boost intra-African trade – Wamkele Mene

Africa must strengthen its capacity to deliver the payment systems, efficient borders and infrastructure that businesses need to benefit from the African Continental Free Trade Area (AfCFTA), H.E. Wamkele Mene, Secretary-General of the AfCFTA Secretariat, told project professionals at Project Management Institute’s Global Summit Series in Cape Town. In a fireside conversation with George Asamani, PMI’s Managing Director for Sub-Saharan Africa, Mene outlined the work needed to turn continental trade commitments into easier access to markets.

Priorities include aligning national policies, modernising customs and enabling cross-border payments in local currencies. Speaking under the summit theme Africa Delivers M.O.R.E. Together, he urged professionals across infrastructure, construction, agriculture, services and customs to consider how their expertise could help connect African economies.

“We all have a contribution to creating a single integrated market,” Mene said. He illustrated the cost of fragmented markets through a transaction between businesses in Ghana and Kenya. Despite trading within Africa, the businesses may need to purchase a third currency, typically the US dollar, to complete payment.

He estimated the associated currency conversion costs across the continent at approximately US$5 billion annually. Mr Mene pointed to the Pan-African Payment and Settlement System (PAPSS), developed by Afreximbank in collaboration with the AfCFTA Secretariat, as a practical response. The system enables cross-border payments in local currencies, reducing reliance on third currencies.

The payments example showed why the mechanics of integration matter to businesses. The ability to trade across borders depends on the systems supporting each transaction, as well as the agreement itself. Reducing friction in those systems can help make access to a continental market commercially useful.

Making trade easier also requires customs authorities to apply agreed rules and governments to align domestic policies with continental commitments. Asamani connected those requirements to the skills needed to deliver programmes involving multiple institutions and countries. “A continental agreement becomes meaningful when a business can use it,” said Asamani.