AfCFTA pledges $10 billion boost for Youth-led enterprises across Africa
In a landmark commitment aimed at catalysing Africa’s burgeoning entrepreneurial ecosystem, the African Continental Free Trade Area (AfCFTA) Secretariat has unveiled plans to mobilize a staggering $10 billion earmarked to bolster the development and growth of small and medium-scale enterprises (SMEs) spearheaded by the continent’s youth.
The AfCFTA Secretariat has already set the wheels in motion with an initial allocation of $150 million, dedicated explicitly to nurturing the burgeoning businesses of young African entrepreneurs.
To amplify its financial firepower, the secretariat is forging strategic partnerships with key financial institutions, including the United Bank of Africa and the Africa Exim Bank.
Speaking at a ceremonial reception honouring the visit of Kenyan President H.E. Dr. William Ruto to the AfCFTA Secretariat, Wamkele Mene, the Secretary General of AfCFTA, underscored the pivotal role the secretariat plays in championing youth-led businesses across the continent.
“We’re signing an MOU with United Bank of Africa, where they are committed to disburse 7 billion dollars to SMEs that are led by young people. It has been reported to us that already 150 million dollars under this fund has been disbursed. We will mobilize up to 10 billion dollars to ensure in the implementation of AfCTA, young people are at the centre to benefit,” he remarked.
Mr Mene’s remarks signal a clear intent to position AfCFTA as a linchpin in Africa’s economic transformation agenda.
In a reciprocal gesture of collaboration and solidarity, President Ruto of Kenya expressed his unwavering commitment to working closely with President Akufo-Addo and other African leaders to ensure the seamless ratification of financial establishments under the African Union’s purview, thereby unlocking untapped trade and investment avenues between African nations.
“I want to specifically underscore the importance of us working together and building synergies and creating institutions. I will be working with President Akufo-Addo to make sure that all financial institutions under the AU, from the fund to the bank, to the insurers are all ratified. So that we can build the necessary financial ecosystem to support trade, investments and businesses in our continent.”
This ambitious initiative by AfCFTA not only underscores the organisation’s commitment to nurturing Africa’s next generation of entrepreneurs but also serves as a clarion call for concerted efforts to harness the continent’s vast economic potential.
As Africa stands on the cusp of a new economic dawn, collaborative endeavours between governments, financial institutions, and young entrepreneurs will be instrumental in sculpting a prosperous and sustainable future for the continent.
