U.S. delegation backs Africa investment opportunity

The U.S. delegation at the AGOA Forum Summit has expressed strong support for the extension of the African Growth and Opportunity Act (AGOA) beyond 2025, highlighting the importance of increasing awareness and utilization of the program to boost trade between Africa and the United States. Joy Basu, the Bureau of African Affairs, U.S. Department, State Deputy Assistant Secretary for African Affairs, emphasized the significant benefits that AGOA offers to African businesses, allowing them to export thousands of products duty-free to the U.S. market, making their products more competitive globally. Basu underlined the need to modernize AGOA to align with the current African economic landscape, which is characterized by a young population, digital advancement, and urbanization. She identified key opportunities in the service industry and digital sector for enhancing trade under AGOA. The U.S. administration aims to deepen economic ties with Africa, recognizing the continent's potential for fostering economic growth and innovation. Moreover, the delegation acknowledged the importance of involving small and medium enterprises (SMEs) and women-owned businesses in AGOA utilization. Basu highlighted the role of education in ensuring that these businesses are aware of the program's benefits and encouraged partnerships between the U.S. government, African governments, and civil society to support SMEs' participation in AGOA. When questioned about the duration of the next AGOA extension, Basu noted that the decision ultimately rests with Congress. However, she emphasized the significance of providing a stable investment environment to attract American businesses to Africa and promote long-term investment in the continent. Despite political divisions in Congress, Basu expressed confidence in the bipartisan support historically demonstrated for AGOA, underscoring the shared recognition of Africa's economic potential and the importance of strengthening U.S.-Africa economic partnerships. In conclusion, the U.S. delegation's unwavering support for extending AGOA showcases a commitment to promoting economic development and trade diversification in Africa. By leveraging AGOA's benefits and engaging with SMEs and women-owned enterprises, the U.S. aims to create a more inclusive and sustainable economic environment that benefits both African and American businesses.