The African Development Bank (AfDB) has begun discussions with key parties in the African Continental Free Trade Agreement (AfCFTA) to facilitate vessel acquisition for African ship owners. Captain Sunday Umoren, Secretary General of the Abuja Memorandum of Understanding (MoU), disclosed this in Lagos at the quarterly meeting of the Nigerian Association of Master Mariners, NAMM.
He stated that the endeavour strives to bolster regional trade by enhancing Africa’s shipping.Umoren said that the bank is moving forward with vessel acquisition plans to improve intra-African trade. The project is consistent with the goals of the AfCFTA, which aims to spur economic growth across the continent by promoting intra-African commerce.
Umoren stated, “The AfCFTA represents an incredible potential to revitalise intra-African trade, which has long been undeveloped. Effective trade necessitates the movement of commodities from producers to consumers, which is largely reliant on readily available and dependable transportation—whether by road, rail, sea, or air.
Africa’s geographical diversity, which comprises 38 coastal and island governments, huge Exclusive Economic Zones encompassing 13 million square kilometres, and a coastline of more than 47,000 kilometres, makes maritime transit an obvious choice for connecting markets across the continent.”
Umoren estimated that around 100 vessels would be required to efficiently launch integrated intra-African trade, allowing the continent to satisfy anticipated shipping demands. He emphasised that the AfDB’s assistance in financing vessel acquisition is crucial to attaining this goal since it allows African ship owners to actively contribute to this continental trade shift.
Ms. Funmi Folorunsho, Secretary General of the African Shippers’ Owners Association, confirmed Umoren’s statement, stating that discussions are underway to secure the requisite boats and facilities to implement the AfCFTA.
She remarked, “These discussions are a monumental step forward. The AfCFTA’s objective of a united and economically robust Africa is achievable, and the AfDB’s commitment to building the essential infrastructure will be transformative for the region.”
