AfCFTA Spurs Regional Trade Surge as Africa Cuts Trade Deficit Nearly in Half

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Intra-African trade climbed 7.7% in 2024, reaching USD 208 billion, according to the African Export-Import Bank’s latest report, African Trade and Economic Outlook 2025: African Resilience in a Changing World Order.

Intra-African trade climbed 7.7% in 2024, reaching USD 208 billion, according to the African Export-Import Bank’s latest report, African Trade and Economic Outlook 2025: African Resilience in a Changing World Order. This surge reflects deeper regional integration, spurred largely by the continued implementation of the African Continental Free Trade Area (AfCFTA), improved trade policies, and better infrastructure.

The AfCFTA is helping reduce Africa’s dependency on external markets by facilitating cross-border trade in a broader range of sectors. However, growth remains uneven across the continent. Southern Africa led with USD 58.1 billion in intra-African trade, followed by West Africa (USD 52.8 billion), East Africa (USD 46.8 billion), North Africa (USD 31 billion), and Central Africa (USD 19.4 billion).

South Africa maintained its lead in intra-African exports, contributing about 25% of the total. Egypt and Nigeria also played major roles.

Overall trade—including flows with global partners—grew 5.8% to USD 1.4 trillion. African exports jumped nearly 10% to USD 682 billion, while imports rose 2.4% to USD 719 billion, cutting the continent’s trade deficit from USD 80 billion to USD 37 billion. Stable commodity prices, which stayed within a 2% range, supported this performance.

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Despite this progress, the report cautions that Africa’s trade still faces risks from global instability and price shocks. Afreximbank recommends accelerating industrialization and economic diversification to boost resilience and long-term growth.

The European Union remains Africa’s largest trade partner, accounting for 31% of exports and 29% of imports, followed by China.