Ghana has significantly increased its share of intra-African trade, according to the 2023 African Export and Import Bank (AFREXIM) Trade Report.
The report highlights Ghana’s substantial growth in trade within the African region, underscoring the nation’s increasing economic integration on the continent.
In 2023, Ghana’s share of total intra-African trade rose to 5.46%, marking a more than 27% increase from 2022. The value of Ghana’s exports to other African countries reached over $6 billion, compared to $4.73 billion in the previous year. This growth reflects Ghana’s expanding role in the African trade landscape.
On the import side, Ghana brought in goods and commodities worth $1.3 billion from other African countries. This indicates that Ghana is importing less relative to its exports, showcasing a positive trade balance within the continent.
The report underscores Ghana’s effective utilization of the African Continental Free Trade Area (AfCFTA) agreement. Despite initial concerns about Ghana’s readiness to capitalize on the pact, the nation has demonstrated substantial engagement.
The AfCFTA Secretariat confirmed that trade under the agreement’s rules commenced in January 2021, with meaningful commercial activity starting in October 2022 through the Guided Trade Initiative.
This initiative enabled seven pilot countries, including Ghana, to trade a set of goods on a duty-free basis, enhancing the agreement’s implementation and testing its operational environment.
Ghana stands out among the top 10 contributors to intra-African trade, alongside the Democratic Republic of the Congo, Mali, Namibia, Zambia, and Zimbabwe.
Together, these countries accounted for 22.2% of total intra-African trade in 2023. Notably, Ghana, Mali, and Namibia experienced significant gains in their trade volumes, with growth rates of 18.6%, 13.0%, and 5.4%, respectively.
The AFREXIM Trade Report emphasizes the resilience of intra-African trade, which grew by 7.2% year-on-year, reaching $192 billion. This represented 15% of total African trade in 2023, up from 13.6% in the previous year. Despite a tumultuous global landscape, intra-African trade has remained a beacon of hope for sustainable development on the continent.
The report attributes this resilience to the ongoing efforts to implement the AfCFTA, supported by initiatives such as Afreximbank’s Intra-African Trade Fair (IATF), the Pan-African Payments and Settlement System (PAPSS), and the Intra-Champ Initiative. These initiatives are not only fostering trade but also nurturing a sense of optimism for the future of African trade and development.
Ghana’s impressive performance in intra-African trade underscores the country’s growing economic influence and integration within the continent. The AFREXIM Trade Report highlights the critical role that initiatives like the AfCFTA play in driving trade and development in Africa. As Ghana continues to leverage these opportunities, it sets a positive example for other African nations, demonstrating the potential for economic growth and cooperation across the continent.