Africa is strategically positioning itself to tap into a $712 billion digital trade market by 2035, leveraging key partnerships and trade-enabling infrastructure to deepen continental integration and economic sovereignty. This ambition is primarily driven by the African Continental Free Trade Area (AfCFTA).
Wamkele Mene, Secretary General of the AfCFTA Secretariat, announced this goal at the 2025 Afreximbank Annual Meetings (AAM2025) in Abuja. He emphasized that the Protocol on Digital Trade is central to AfCFTA’s strategy for unlocking the potential of Africa’s growing digital economy.
“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 commercialization and movement of data, and the development of digital public infrastructure,” Mene stated.
Mene underscored the critical role of Afreximbank in providing the necessary financial framework to support the AfCFTA’s implementation, especially in reducing and eliminating tariff and non-tariff barriers.
“Without the support of Afreximbank, the AfCFTA will not succeed. It requires trade finance tools, support for industrial development, green trade, and green industrialisation,” he added.
One significant tool introduced in collaboration with Afreximbank is the Pan-African Payment and Settlement System (PAPSS). This system enables intra-African payments in local currencies, reducing the continent’s reliance on the US dollar and lowering transaction costs.
Mene stressed that trading between African countries using foreign currencies like the US dollar is no longer sustainable. “We must use our own currencies. We must ensure the economic sovereignty of our continent and guard ourselves against ever-shifting global geopolitical tensions that affect payment systems,” he asserted.
Yemi Kale, Group Chief Economist and Managing Director of Research and Trade Intelligence at Afreximbank, noted that transaction volume through PAPSS increased by over 1,000 per cent between May 2024 and 2025, reflecting its growing adoption.
Mene also revealed that $10 billion has been mobilized under the AfCFTA Adjustment Fund to support countries implementing the agreement, with an initial package of $1 billion. Additionally, a $1 billion AfCFTA Automotive Fund has been established to support component manufacturers and vehicle assembly on the continent. This sector, if well-supported, could generate $46 billion by 2035.
Other initiatives to simplify trade procedures and boost intra-African trade include the AfCFTA E-Tariff platform, the Rules of Origin Manual, and the upcoming Transit Guarantee System.
“We have moved beyond political aspirations to establishing a functional and legally binding multilateral African trading system. This includes protocols on investment, competition policy, and digital trade,” Mene confirmed.
