Advancing industrialization & cross-border infrastructure in Africa

The drive for industrialization in Africa has gained momentum as the continent aims to seize emerging opportunities for economic transformation. Nardos Bekele-Thomas, CEO of AUDA-NEPAD, emphasized the critical role of industrial development in fostering prosperity, resilience, peace, and stability across Africa. In a recent interview with CNBC Africa, Bekele-Thomas highlighted the need to create a conducive ecosystem for industrialization by establishing special economic zones (SEZs) and enhancing value chains. She underlined the significance of supporting small and medium enterprises (SMEs) and harnessing the potential of Africa's young population for entrepreneurial endeavors and innovation. Moreover, she discussed the integration of SEZs into the African Continental Free Trade Area (AfCFTA) to boost intra-African trade. The following key points emerged from the insightful conversation with Bekele-Thomas: Industrialization as the Foundation for Socioeconomic Transformation: Bekele-Thomas emphasized that industrialization is fundamental for driving transformative socioeconomic change in Africa. She stressed the importance of establishing SEZs to cluster industries, enhance supply chains, and promote competitiveness. By creating a conducive environment for businesses and leveraging the continent's resources, Africa can propel its industrialization agenda forward. Empowering Youth and Women Entrepreneurship: Recognizing the entrepreneurial spirit of Africa's youth, Bekele-Thomas underscored the need to build capacity and provide support for young entrepreneurs. Through initiatives like Energize Africa, young people can access training, skills development, and innovation hubs to translate their creativity into sustainable businesses. By empowering youth and women entrepreneurs, Africa can harness their potential to drive economic growth and prosperity. Integration of SEZs into AfCFTA: Bekele-Thomas highlighted the importance of aligning SEZs with the goals of AfCFTA to promote intra-African trade. By diversifying production and creating value chains that are complementary across countries, Africa can enhance its trading capabilities within the continent. She emphasized the role of AfCFTA in harmonizing trade policies, fostering regulatory frameworks, and facilitating cross-border transactions to boost economic integration. As Africa continues its industrialization journey, collaboration between public and private sectors, investment in infrastructure, and empowerment of local businesses will be key to unlocking the continent's economic potential. By leveraging the opportunities presented by industrialization and cross-border infrastructure development, Africa can forge a path towards sustainable growth and prosperity. The integration of SEZs into the broader AfCFTA framework serves as a strategic move to enhance regional trade and economic cooperation.