Navigating global headwinds: Africa's trade landscape and growth opportunities
BIS Bulletin
|
No
109
|
18 July 2025
Key takeaways
- Africa is not immune from trade challenges. Its direct exposure to new US tariffs is relatively limited, but indirect effects through slower global demand and financial conditions may be larger.
- Strengthening regional trade integration through initiatives like the African Continental Free Trade Area (AfCFTA) can help build regional supply chains and reduce reliance on commodity exports.
- Africa's young workforce, digital innovation and rich natural resources provide longer-term growth tailwinds. Unlocking these opportunities requires investment in skills, infrastructure and financial integration to boost trade and value-added.