The AfCFTA Implementation Challenges
Summary
The AfCFTA faces significant implementation hurdles due to the extreme economic disparity between member states, which may lead to 'winners and losers' where advanced economies benefit while least developed countries (LDCs) face initial welfare losses. Key challenges include the loss of critical tariff revenues for some governments, weak institutional capacities in LDCs, and limited commitment to the free movement of labour. To mitigate these risks, the agreement employs special and differential treatment, granting LDCs and a specific 'Group of 6' (G6) longer phase-out periods for tariff liberalisation, though the authors argue that additional support from the AU Secretariat and private finance is necessary to bridge the development gap.
Key insights
- The extreme economic heterogeneity of African countries, ranging from GDPs over US$300 billion in Nigeria, South Africa, and Egypt to less than US$2 billion in states like Gambia and South Sudan, hinders AfCFTA implementation and may cause weaker economies to fall further behind in the short to medium term.
- Least developed countries (LDCs) face structural disadvantages, including low productivity and geographic isolation—with 14 of the 33 LDCs being landlocked—which may lead to firm closures and higher unemployment as competition increases.
- Tariff revenue loss is a critical barrier to implementation, particularly for countries like the Central Africa Republic, Chad, Comoros, and DR Congo, where intra-continent tariff revenues are estimated to exceed 5% of government revenues.
- To address development gaps, the AfCFTA provides differential tariff liberalisation timelines: non-LDCs have five years to liberalise 90% of non-sensitive products, LDCs have 10 years, and the 'Group of 6' (Ethiopia, Madagascar, Malawi, Sudan, Zambia, and Zimbabwe) has a 15-year phase-out period.
- Commitment to the free movement of labour remains low, with only Rwanda, Niger, Sao Tome and Principe, and Mali having ratified the AfCFTA Protocol on the free movement of people as of January 2023.
Cite the original document
- APA
- Chipanda, B., & Cilliers, J. (2026). The AfCFTA Implementation Challenges. Institute for Security Studies. https://futures.issafrica.org/thematic/guide.pdf?thematic=08-afcfta&topic=09-implementation-challenges
- Chicago
- Chipanda, Blessing, and Jakkie Cilliers. The AfCFTA Implementation Challenges. Institute for Security Studies, 2026. https://futures.issafrica.org/thematic/guide.pdf?thematic=08-afcfta&topic=09-implementation-challenges.
- Wikipedia
- {{cite report |last1=Chipanda |first1=Blessing |last2=Cilliers |first2=Jakkie |title=The AfCFTA Implementation Challenges |publisher=Institute for Security Studies |date=29 March 2026 |url=https://futures.issafrica.org/thematic/guide.pdf?thematic=08-afcfta&topic=09-implementation-challenges |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{chipanda2026afcfta, author = {Chipanda, Blessing and Cilliers, Jakkie}, title = {{The AfCFTA Implementation Challenges}}, institution = {Institute for Security Studies}, year = {2026}, month = mar, url = {https://futures.issafrica.org/thematic/guide.pdf?thematic=08-afcfta&topic=09-implementation-challenges}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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