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AfCFTA as a Strategic Response to Trade Wars: Reinventing Africa's Role in the Global Economy
Abstract
This chapter examines the African Continental Free Trade Area (AfCFTA) as a crucial instrument for addressing global trade challenges, including the surge in protectionist policies observed during the COVID-19 pandemic. This analysis employs geoeconomics, strategic trade theory, and new regionalism to examine how the AfCFTA can enhance Africa's economic strength and independence. The chapter examines policy frameworks and case studies from Ghana, South Africa, Nigeria, and Kenya, as well as insights from various regional trade agreements, including RCEP, USMCA, and MERCOSUR. The chapter suggests that the AfCFTA could enhance Africa's position in global trade negotiations, foster regional value chains, and consolidate the continent's markets. The chapter concludes with a helpful framework that policymakers, development partners, and institutions can utilize to safeguard Africa against external shocks through the AfCFTA.
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