African, Caribbean nations explore free trade zone to boost economic ties

Business a.m

African and Caribbean leaders from both the public and private sectors have called for greater trade and investment cooperation between the two regions. They have set their sights on establishing an African Caribbean free trade zone, which could benefit both regions economically and politically.

According to Elizabeth Harper, permanent secretary of Guyana’s foreign ministry, the group’s resolution made a strong call for global organizations such as the African Union,Caribbean Community(CARICOM), and the Organisation of Eastern Caribbean States to strengthen political relations between Africa and the Caribbean.

The forum also called for strengthening partnerships with key organizations such as the African Business Council, the CARICOM Private Sector Organization, and the International Trade Centre. These partnerships, the forum suggested, would lay the groundwork for the creation of an African Caribbean Business Council.

The ACTIF23 conference made clear the commitment of African and Caribbean governments and businesses to mutual growth and development. During the conference, several groundbreaking agreements were signed in sectors such as energy, tourism, logistics, construction, agriculture, sports, and the creative industries. These agreements, it was hoped, would create new opportunities and boost trade and investment between Afric

In reflecting on the success of the forum, Ashni Singh, Guyana’s finance minister, emphasised the significance of ACTIF23 for Guyana. He noted that the event has not only strengthened the ties between the two regions, but has also highlighted the shared challenges that they must overcome together.

Benedict Oramah, president of the African Export-Import Bank (Afreximbank), underlined the importance of genuine integration between Africa and the Caribbean.

 Oramah expressed confidence that the new agreements signed at the forum would help to facilitate this much-needed integration.

“The horizon seems promising, with a unified payment system bridging Africa and the Caribbean becoming an imminent reality,” he said.

The second edition of the Africa-Caribbean Trade and Investment Forum, held in Guyana in 2023, built on the success of the first forum held in Barbados in 2019. The first forum laid the foundation for greater cooperation between Africa and the Caribbean, with a partnership between the African Export-Import Bank (Afreximbank) and CARICOM (Caribbean Community). The second forum took this cooperation to the next level, with an even larger number of delegates from across the world.

As part of its commitment to supporting trade and investment in the Caribbean, Afreximbank has agreed to provide a $30 million term loan facility to the Bahamas Development Bank (BDB). The facility will allow the BDB to strengthen its trade finance operations and support the growth of local businesses in the Bahamas. Kanayo Awani, Executive Vice President at Afreximbank, and Nicholas Higgs, Managing Director of BDB, signed the agreement at ACTIF2023. The loan is for a period of seven years, demonstrating Afreximbank’s long-term commitment to the region.