Tanzania Ratifies African Continental Free Trade Agreement

MOSCOW (UrduPoint News / Sputnik - 10th September, 2021) Tanzanian Minister of Industry and Trade Kitila Mkumbo has announced the ratification of the African Continental Free Trade Area (AfCFTA) by the country's parliament, paving� way for the country to fully participate in the $3.4 trillion African economy.

"Pleased to announce that today, the 9th of September 2021, the Parliament of the United Republic of Tanzania has RATIFIED the Agreement Establishing the African Continental Free Trade Area (AfCFTA), effectively joining the 1.2 billion market and USD 3.4 trillion African economy," Mkumbo said on Twitter.

The African trade agreement was launched for signing in April 2018 and came into force a year later, after the requisite minimum of 21 countries ratified it.

The former president of Tanzania, John Magufuli, signed the agreement in 2019, but the parliamentary approval was lacking until now.

The AfCFTA is the world's largest free trade area since the formation of the World Trade Organization. Out of the 54 countries that have so far signed the deal, only 38 countries, including Tanzania, have ratified the treaty.

By removing tariff and non-tariff barriers, the free trade deal is expected to foster intercontinental trade, create jobs and improve the competitiveness of African traders with the rest of the world. Presently, intra-African exports remain at a modest 17% of total continental exports.

The trade agreement was signed by 54 out of 55 members of the African Union when it was launched in Rwanda's capital, Kigali, in March 2018. Eritrea now remains the sole outsider.