AFRICA BUILDS DIGITAL ECONOMIC POWERHOUSE TO BOOST CONTINENTAL SOVEREIGNTY BY 2035

Africa targets $712 billion market by 2035 through bold initiatives under the African Continental Free Trade Area (AfCFTA).

Africa Global digital trade powerhouse Economic independence Trade Finance.

Africa is laying the groundwork to become a global digital trade powerhouse, targeting a $712 billion market by 2035 through bold initiatives under the African Continental Free Trade Area (AfCFTA). The move marks a major shift from political rhetoric to actionable trade transformation, aimed at fostering economic independence and innovation across the continent.

Speaking at the 2025 Afreximbank Annual Meetings (AAM2025) in Abuja, Wamkele Mene, Secretary General of the AfCFTA Secretariat, described the Protocol on Digital Trade as a cornerstone of the continent’s strategy to leverage the rising digital economy. “We are not just talking about digital transformation we are building the infrastructure, policies and partnerships to own it,” Mene stated.

He emphasized that Africa’s growing youth population, thriving fintech ecosystem, and expanding internet penetration present unmatched opportunities for entrepreneurs, investors, and governments alike. “We intend to harness this significant market, which is estimated to be over $712 billion by the year 2035, presenting opportunities for young entrepreneurs, investment in data centres, the commercialisation and movement of data, and the development of digital public infrastructure,” he said.

Afreximbank, which plays a pivotal role in supporting AfCFTA’s implementation, is leading efforts to remove trade bottlenecks through finance, green industrialisation support, and trade facilitation tools. Among the game-changing tools is the Pan-African Payment and Settlement System (PAPSS), which enables cross-border payments in local currencies drastically cutting costs and reducing the continent’s dependence on the US dollar.

“The use of foreign currencies between African countries is no longer sustainable,” Mene declared. “We must ensure the economic sovereignty of our continent and guard ourselves against ever-shifting global geopolitical tensions that affect payment systems.”

To ease the transition and support member states, the AfCFTA Adjustment Fund has mobilised $10 billion, including a $1 billion “ZIP package” to cushion short-term revenue losses. In addition, a $1 billion AfCFTA Automotive Fund is set to boost regional manufacturing and assembly, with the potential to unlock $46 billion in value by 2035.

Digital tools such as the AfCFTA E-Tariff platform, the Rules of Origin Manual, and an upcoming Transit Guarantee System are being deployed to simplify trade logistics and increase participation of small and medium enterprises (SMEs) in intra-African commerce.

Despite these advances, Mene cautioned that key challenges remain. “Conflict and instability, particularly in rural regions, continue to prevent millions of farmers from accessing markets. We must tackle these issues with urgency if the full potential of AfCFTA is to be realised,” he warned.

Yemi Kale, Group Chief Economist and Managing Director of Research and Trade Intelligence at Afreximbank, revealed that transactions via PAPSS surged by more than 1,000 percent between May 2024 and May 2025 an indication of rapidly increasing trust and adoption of the platform.

Mene concluded with a call to action: “We must now match our ambition with urgency, resolve and cooperation. Our continent is on the cusp of a trade revolution but we must clear the path for it to thrive.”

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AFRICA BUILDS DIGITAL ECONOMIC POWERHOUSE TO BOOST CONTINENTAL SOVEREIGNTY BY 2035

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