Ezulwini, Eswatini, 7 March 2024 (ECA) – Eswatini, in collaboration with the Economic Commission for Africa (ECA) and the United Nations System has launched the National AfCFTA Implementation Strategy to boost the country’s trade and investment opportunities.
The strategy articulates Eswatini’s plans for trade in the African continent, setting out a principled and holistic approach to trade policy. It also equips the country with a robust trade and investment framework. The strategy, and its action plan, seeks to enable Eswatini achieve sustainable growth, diversify export markets, grow the economy, and achieve higher living standards and wellbeing for its citizens.
Speaking at the launch of the strategy, Eswatini's Acting Minister of Commerce Industry and Trade, Thambo Gina, highlighted that the strategy is a tool to promote and increase trade within and beyond the African continent while attracting investment and stimulating industrialisation. Moreover, it is envisaged that the strategy will promote productivity and enable Eswatini businesses to benefit from national, regional and continental value chains.
“It is imperative that the Government of Eswatini and the private sector work collaboratively so as to realise full implementation of the AfCFTA for the benefit of all EmaSwati”, said Mr. Gina, adding that Eswatini will support the private sector including MSMEs, particularly those owned by women and the youth.
The AfCFTA national strategy complements a broader development framework in relation to Eswatini’s trade policy environment to the AfCFTA Agreement. It facilitates the identification of regional value chains to maximise value addition benefits and also identifies trade opportunities and constraints, including measures and capacities required to take full advantage of national, regional, and global markets for goods and services within the context of the AfCFTA.
The Strategy also underscores that Eswatini needs to address supply side constraints in order to trade optimally with the rest of Africa. In addition, there is need to improve policy and regulatory measures for Eswatini to take full advantage of expanded markets under the AfCFTA.
Mr. Mzwanele Mfunwa, Officer-in-Charge of the Sub-regional Initiatives Section, ECA Sub-Regional Office Southern Africa, in remarks on behalf of Ms. Eunice Kamwendo, Director of the ECA Sub-Regional Office for Southern Africa, noted that Eswatini is forging towards becoming a well-diversified economy. He said Eswatini was on course to diversifying its manufacturing base, which currently accounts for 37% of GDP, the highest in the Southern Africa region.
Mr. Mfunwa observed that Eswatini’s AfCFTA Implementation Strategy builds on existing efforts and propels the small landlocked country towards increasing its local production base and export orientation.
Structured around 7 strategic objectives, the AfCFTA Implementation Strategy “provides a strategic roadmap for Eswatini to maximise the country’s benefits under the AfCFTA targeting an annual regional export growth of at least 10%, Mr Mfunwa said.
“The strategy is premised on increasing and diversifying local production for AfCFTA markets in priority sectors; developing MSME export readiness programmes targeting AfCFTA markets and improving access to development finance to encourage exports among others,” he added.
On his part, United Nations Resident Coordinator in Eswatini, Mr. George Wachira, observed that intra-Africa trade has remained at around 18%, compared to intra-Europe at over 70%. Thus, deeper intra-Africa trade under AfCFTA is a potential game-changer with its 1.3 billion people market. Studies show that Africa’s manufacturing sector alone could produce up to $1 trillion by 2024, contributing an additional 14 million jobs.
“This strategy is therefore not just a plan; it is a blueprint for prosperity that leverages Eswatini's unique strengths and positions it to harness the vast opportunities the AfCFTA presents” said Mr. Wachira, pledging UN capacity-building support to public institutions and stakeholders to maximise the benefits of the strategy.
Speaking at the same event, Mr. Mphumelelo Makhubu, Private Sector Representative, Business Eswatini noted that the AfCFTA is a path to inclusive growth and resilience as the agreement provides unprecedented access to a market of 1.3 billion people and a combined GDP of approximately $3.4 trillion.
“For Eswatini, this provides an opportunity to diversify our exports beyond the familiar territories,” said Mr. Makhubu, adding, “Our private sector can now explore new markets, export goods, and offer services with duty-free access, leading to increased revenues and sustainable growth.” he said.
Issued by:
The Sub-Regional Office for Southern Africa
UN Economic Commission for Africa (ECA)
P.O. Box 30647, Lusaka, Zambia.
Media Contacts:
Mr. Bedson Nyoni
Senior Information Management Assistant
Economic Commission for Africa
Sub Regional Office for Southern Africa (SRO-SA)
Email : nyonib@un.org