Crucial role of women in expanding intra-African trade

In a bid to boost intra-African trade and foster sustainable economic development, experts emphasize the crucial role of women in the continent. The African Economic Outlook for 2017 highlights that trade between African countries is currently at about 13 percent, showing significant potential for growth. Deepa Vallabh, the Head of Cross-Border Mergers and Acquisitions for Africa and Asia at Cliffe Dekker Hofmeyr, sheds light on the untapped opportunity presented by women in increasing this percentage. Currently, women control around 70 percent of the informal trade market in Southern Africa and approximately 50 percent in the rest of the continent. This vast potential lies within the informal sector, acting as a reservoir for substantial growth in inter-Africa trade. Vallabh emphasizes the need to formalize this sector to unlock higher growth rates. Formalizing the informal trade sector requires comprehensive policy frameworks that prioritize women's participation in trade. Banks, governments, and corporate entities play pivotal roles in facilitating the transition from informal to formal trade. By placing women at the core of policy considerations, the traction needed to elevate intra-African trade to a new level can be achieved. Furthermore, aligning market training initiatives for women traders is essential. The lack of coherence in markets across different regions poses a significant challenge. To enhance trading capabilities, there must be a collaborative effort to streamline policies and promote cross-border trade. Addressing political issues and establishing conducive environments for collaboration are crucial steps in empowering women to engage more effectively in the formal trading economy. Efforts such as the continental free trade area and the tripartite trade agreement in Africa aim to harmonize trade policies among all African Union states. However, the inclusion of women's perspectives and experiences in these discussions remains a pressing issue. Women drive 70 percent of informal trade, underscoring the urgency of integrating their voices into the development dialogue. While transitioning to formal trade may pose challenges such as heavy taxes and administrative burdens, many women are eager to unlock growth opportunities for their businesses. By formalizing their operations, women entrepreneurs aim to expand their ventures and tap into the economic value and potential that formal trade channels offer. In conclusion, empowering women is key to expanding intra-African trade and fostering economic integration. By recognizing and amplifying the role of women in trade, African nations can harness the full potential of their economies and drive sustainable development across the continent.