As Covid-19 caseload surpassed 225,105 on Saturday across the African continent, 43 African countries are now under full border closure due to the rapid spread of the coronavirus. The death toll from the pandemic has reached 6,040, while some 102,846 people have recovered, according to the latest data from the Africa Centres for Disease Control and Prevention (Africa CDC). The Africa CDC said that the northern African region is the most affected area across the continent both in terms of positive Covid-19 cases and the number of deaths. HIGHLY AFFECTED The highly affected African countries include South Africa, Egypt, Morocco, Djibouti, Nigeria, and Algeria, said the specialized healthcare agency of the African Union (AU) Commission. Some countries on Saturday reported new records for their daily increases in Covid-19 infections. Egypt registered 1,677 new Covid-19 cases in the last 24 hours, the highest daily surge so far, raising the national count to 42,980, the Egyptian health ministry said. The country has also reported a record single-day increase of 62 in Covid-19 deaths, taking the death toll to 1,484, said Khaled Megahed, the health ministry's spokesman. Ethiopia, Africa's second most populous nation with a population of about 107 million, reported 268 new cases on Saturday, the highest daily increase so far, taking the country's tally to 3,166, the Ethiopian Ministry of Health said. WORST HIT South Africa, the worst-hit country on the continent, has registered a total of 65,736 cases and 1,423 deaths so far, according to Johns Hopkins University's latest tally....

Construction of a rail line linking Ethiopia to Sudan is to be funded by the African Development Bank (AfDB) which has approved an approximately US$ 1.2M grant to the government of the Republic of Ethiopia to finance the feasibility study for the construction of a proposed standard-gauge railway (SGR) line linking the East African country to its neighboring Republic of Sudan. The funding for construction of the rail line linking Ethiopia to Sudan will cover approximately 35 percent of the total estimated cost of the study, which is US$ 3.4M. NEPAD Infrastructure Project Preparation Facility (NEPAD-IPPF), a multi-donor Special Fund hosted by the AfDB to support African countries to prepare regional infrastructure projects in energy, transport, ICT and transboundary water, will provide additional US$ 2M grant while the two countries will equally contribute the reminder. The feasibility study The 24 months comprehensive feasibility study will evaluate the proposed project’s technical, economic, environmental, and social sustainability, as well as alternative financing arrangements which might include a public-private partnership (PPP). The future 1,522 kilometers railway line is precisely intended to connect the city of Addis Ababa in Ethiopia and that of Khartoum in Sudan, with an extension to Port Sudan, a port city in eastern Sudan and the capital of the state of Red Sea. The lack of a regional route linking Ethiopia, Sudan, and other countries in the Horn of Africa, according to a proposal report handed to the AfDB, undermines trade, development, and regional integration in the region. The project, upon completion,...

Current state of play of the AfCFTA The secretary-general of the Africa Continental Free Trade Area (AfCFTA) secretariat, Mr Wemkele Mene made an announcement on 28 April 2020 of the postponement of the 1 July 2020 official implementation start date. Mr Mene cited the adverse effects of Covid-19 currently devastating Africa and the world at large as the primary reason. This postponement came after significant lobbying of African leaders not to move this long-awaited launch date as there are real concerns that Africa could lose momentum towards the implementation of the new trade architecture. He made no announcement of an alternative start date, though speculation is swirling that it may now be set for January 2021. As indicated in my previous article ‘In a post-Covid-19 World, the Africa Continental Free Trade Area could not come soon enough’, which featured in Engineering News, Mining Weekly and How we made it in Africa on 22 May 2020, the pitfalls of open-ended postponements were laid out. Africa needs to move forward at pace to implement the agreement or risk losing momentum, political will and failure to negotiate meaningfully with global trade partners to correct the existing highly skewed trade architecture – especially if Africa appears to the world as being incapable of multi-tasking! Once fully implemented, the AfCFTA aims to reshape the continent’s social, investment and trade arena in a fundamental manner. It lays the foundation for the African Customs Union, a cornerstone of the African Union (AU) Agenda 2063. The goal is...

Content type: Graphic Analysis Location: AFRICA Keywords associated with this article: Geographic: Africa, ME/NAF, Central Africa, East Africa, North Africa, Southern Africa, West Africa Topical: economy, international relations, emergency, fiscal, foreign trade, government, health, immigration, infrastructure, investment, policy, regional, talks ISSN: 2633-304X Lagging regional integration is further complicated by the COVID-19 crisis Impacts COVID-19-related border and trade restrictions will strain various bilateral relationships over the short-to-medium term. Progress on freedom of movement and visa openness could face renewed setbacks. Recent continental efforts on procuring COVID-19-related supplies will intensify efforts to improve medical regional value chains. COVID-19-related border closures will exacerbate ongoing and emerging food security crises. Conclusion The latest Africa Regional Integration Index Report shows states and regional economic communities generally not well integrated, with the EAC overall the most integrated community across five criteria: trade integration; productive integration; macroeconomic integration; infrastructural integration; and the free movement of people. Sub-Saharan Africa’s growth is set to contract by at least 1.6% in 2020, and global growth by at least 3%, with severe impacts for regional heavyweights Nigeria and South Africa. With the African Continental Free Trade Area (AfCFTA)’s implementation now delayed (potentially until 2021), and COVID-19-related disruptions to global trade and financial markets, enhanced regional integration will become even more pressing to offset expected economic downturns. Source: Emerald

Rwanda and Uganda have recorded a reduction in trade flows in April and May 2020, according to the latest report from the COMESA Statistics on ‘COVID 19 Impact on Trade’. The report was prepared in the first two months in which COVID-19 spread to the region. Imports into Rwanda declined by 32 % in April compared to March. Rusumo and Airport borders posts recorded declines in imports of 35% and 16% respectively. In Uganda a drop in imports were recorded at 30% in April compared to March. Malabo, Busia and Entebbe border posts recorded declines in imports of 35%, 28% and 24% respectively. Imports for the month of May were projected to decline by 20%. Exports for Rwanda also declined by 8% in April compared to March 2020 while Uganda recorded a decline in Exports by 15% in April compared to March. According to the report, reduction in customs duties are listed as among the critical challenges faced by the Rwanda Revenue Authority. Customs duty receipts declined by 55% in April compared to March. Rusumo, Kagitumba and the Airport border posts recorded declines in customs duty receipts of 52%, 71% and 41% respectively. For Uganda, a reduction in customs duties was listed among the critical challenges faced by the Uganda Revenue Authority with declines of 42% recorded in April compared to March. Malaba, Busia and Entebbe recorded declined duties of 43%, 36% and 21% respectively. Both countries have however put in place measures to respond to the COVID-19. In Rwanda for...

Findings of the 2019 African Regional Integration Index indicate that regional integration in Africa remains low with the continent recording an average index score of 0.327 out of a possible 1. The latest index, published late May by the United Nations Economic Commission for Africa, the African Union, and the African Development Bank, builds on the first edition published back in 2016. It provides up-to-date data on the status and progress of regional integration in Africa. The ARII uses 16 indicators, grouped into five dimensions – free movement of people, trade, productive capacity, infrastructure, and macroeconomic policy – to measure how well each country and region is integrated with its neighbors. It shows the continent is still particularly poorly integrated on the productive and infrastructural dimensions, which are key aspects of the foundations of regional integration while free movement of people is the strongest dimension. Although 20 countries score above average, no African country can be considered well integrated with its region, the report said. Much more needs to be done to link regional economies to make them more resilient to shocks such as the current COVID-19 pandemic, it said. “The present COVID-19 pandemic has reopened the question of whether enough is being done in advancing regional integration as a means to help Africa withstand systematic shocks such as the one being experienced today,” said Stephen Karingi, Regional Integration Division Director at the ECA. By the metrics, the East African Community is ranked the best integrated among the eight Regional Economic Communities in Africa, while the Southern...

Shamim Sserunjogi and her brother Moses were forced to become digital entrepreneurs when COVID-19 restrictions in Uganda forced everyone to remain at home. "He had a motorcycle, I had a plan. That's how we started," 32-year-old Shamim told DW. Before the COVID-19 pandemic, Shamim sold tilapia and Nile perch from nearby Lake Victoria. But when coronavirus lockdown measures were implemented, her clients stayed away. To keep her business running, she thought she could connect with her clients via Facebook, WhatsApp, and other online social media platforms. Shamim is now able to sell her goods with the help of her brother Moses, who makes about eight deliveries a day on his motorbike, navigating Kampala city traffic. Her new business model was so successful, it even brought her more clients than she had before the pandemic hit the east African nation. Jumia CEO Juliet Anammah (center) celebrates on the floor of the New York Stock Exchange. Jumia is the first African tech startup company to be listed on the NYSE Shamim's story resonates in many African countries. While the pandemic severely restricts people's movement, online trade is picking up fast. Small, medium, and large entrepreneurs alike are now doing business online. The Ivorian online fashion label Afrikrea told DW that orders have doubled since February, resulting in a 53% increase in turnover. Every third order includes hand-sewn protective masks. Nigerian online retailer Jumia – which has been struggling with heavy price losses since its US IPO a year ago – also reported its highest earnings in...

The European Union and COMESA have signed 8.8 million Euros Contribution Agreement to increase private sector participation in sustainable regional and global value chains through improved investment/business climate and enhanced competitiveness in the COMESA region. The funds will be used to implement the Regional Enterprise Competitiveness and Access to Markets Program (RECAMP), focusing on agro-processing, horticulture and leather products. RECAMP will also support pre-selected value chains based on the potential to generate value addition, job creation and attraction of investments to the region. The EU Ambassador to Zambia and Permanent Representative to COMESA, HE Jacek Jankowski and Secretary-General to COMESA Chileshe Kapwepwe signed the Agreement. RECAMP will address critical issues, such as the provision of business information, facilitating market linkages, harmonizing regional industrial policies and creating a conducive business environment to attract investments. It will strive to ensure collaboration with activities of national trade support institutions and business development and service organizations in the Member States as they provide services to value chains as part of their mandate. These include product development; facilitate technology transfer, provision of business intelligence and connection to buyers. The program will identify champions or lead firms within the selected value chains that have both backward and forward linkages with SMEs and other intermediary firms in order to enhance effect coordination reduce coordination failures and improve competitiveness. In her remarks, Ms Kapwepwe said the program will make efforts to enhance the capacities and skills of Micro, Small and Medium Enterprises to make them capable players in...

As lockdowns and curfews are being gradually eased across Africa, the continent faces turbulent times ahead as the COVID-19 pandemic continues to impact the global economy. Already, the harsh economic fallout of stringent lockdowns seems to have been felt more keenly by families across the continent than the disease itself, pushing people with little or no savings and limited access to government support either back or further into poverty. The World Bank forecasts the African continent will experience its first recession this century and some report a potential 3% GDP contraction. The impact on jobs will be huge. McKinsey estimates  that between 9 million and 18 million formal jobs will be lost across Africa, and 100 million informal jobs (of which women make up 75%) are vulnerable to loss of income. Development gains undone Many businesses that were booming and families that were thriving just a few weeks ago now face incredibly challenging times. Failure to protect jobs will have major ramifications for the continent’s resilience and long-term sustainable development. This alone risks undoing many of the development gains that have been hard won over the last decade. These issues are compounded by a perfect storm of declining commodity prices and reduced export volumes, as well as depleting foreign exchange reserves and triggering huge capital outflows. International and local responses to the crisis have mostly focused on immediate and medium-term needs, channelling much-needed support to cash-strapped governments and launching or expanding social safety nets to protect the most vulnerable from the impacts of lengthy lockdowns. But the economic impacts of this public...

Trade is emerging as a remedy that could reduce the Covid-19 pandemic’s adversity through flow of essential goods such as food, medical supplies and other hygiene products. This is according to a report dubbed Covid-19: Time to reboot Intra-Comesa Trade released last week. The report authored by experts Benedict Musengele and Jane Kibiru states: “The relaxation of the free movement of essential goods in the region will enhance their production and boost intra-Comesa trade during this pandemic period.” Experts further cite the implementation of the digital trade facilitation and other instruments as core in mitigating vulnerability to shocks such as Covid-19 pandemic. The report also identifies pharmaceutical products as among the top intra-Comesa traded products, which could immensely grow as the import origin markets namely EU, India, USA, China and UK are among the hard hit by Covid-19. The five contribute 45 per cent, 19 per cent 6 per cent 4 per cent and 3 per cent of the source market for pharmaceutical product to Comesa. According to an International Trade Centre report (ITC, 2020), some of these countries, UK, US, China and India have imposed export restrictions in some pharmaceutical products, which may affect their importation, yet these are critical in the fight against Covid-19. Comesa is a net importer of pharmaceutical products with exports amounting $ 442.53 million in 2018 and imports worth $ 6,451.03 million respectively. The intra- COMESA exports of pharmaceutical products constituted 32 per cent of the exports. “This shows that pharmaceuticals are a major...