Written by Olawunmi Ashafa
African Development Bank (AfDB) Southern Africa Director Dr Kennedy Mbekeani called for stronger policy coordination and mobilization of private capital to unlock Africa’s trade potential under the African Continental Free Trade Area (AfCTA).
Mbekeani made the call on Wednesday while delivering a keynote speech at the 2026 African Trade Conference in South Africa, monitored by the News Agency of Nigeria (NAN) from Lagos.
The conference, hosted by Access Bank, is themed “Turning vision into velocity: Building Africa’s trade ecosystem with real-world impact.”
He said Africa has the resources, institutions and capital it needs to drive development, but needs to strengthen coordination and trust in its own systems to accelerate economic growth and regional integration.
He noted that the AfCTA provided a huge opportunity to transform the continent into a single market that can facilitate production, consumption and trade between African countries.
“Africa has the resources, financial institutions and capital it needs to develop. What we need is stronger collaboration, better policies and confidence in our own institutions,” he said.
Mbekeani said the continent’s large population and vast natural resources put it in a strong position to create one of the world’s largest consumer markets if governments harmonize policies and create an enabling environment for business.
According to him, Africa’s development challenge is not a lack of resources, but the need to mobilize capital and channel it effectively into infrastructure and production sectors.
“We must focus on mobilizing private capital on a continental scale. The funds needed to develop Africa already exist within the continent,” he said.
He called on African governments to deepen collaboration with the private sector in areas such as energy, transport, water and education to fill the continent’s infrastructure gaps.
Mbekeani noted that successful public-private partnerships in several countries show that private investors can deliver critical infrastructure when supported by clear policies and effective regulation.
“Governments need to create an enabling environment, while the private sector needs to actively participate in building the infrastructure that supports regional integration,” he said.
He also said that perceptions of Africa’s risks are often exaggerated and stressed the need for African institutions to shape the narrative about the continent’s investment environment.
“Africa must start telling its own story. The continent’s perception of risk is sometimes higher than the reality,” Mbekeani said.
He added that stronger regional markets would reduce the continent’s exposure to global shocks and allow African countries to process more resources locally.
He said deeper economic integration would increase intra-African trade, strengthen supply chains and strengthen the continent’s ability to withstand global disruption.
Mr Mbekeani said the AfCFTA is a historic opportunity to build a truly integrated African market, and called on governments, financial institutions and businesses to take concrete steps to make the vision a reality.
Also speaking, Mike Ogbal, chief executive officer of the Pan-African Payments and Settlement System (PAPSS), said high transaction costs and fragmented payment systems had long hindered intra-African trade.
Ogbal noted that Africa is home to some of the world’s most expensive payment channels, making cross-border transactions more costly for businesses and individuals.
“Ironically, the poorest people often pay the most to move money across borders. Some of the world’s most expensive payment channels are in Africa,” he said.
He noted that PAPSS was established to address this challenge by enabling businesses and individuals to make cross-border payments in local currencies across the continent.
Ogbal explained that the platform allows payments initiated in one African currency to be received in another within seconds, eliminating the need for third-party currencies and lengthy correspondent banking processes.
“Payments can be made in Nigeria in naira and arrive in Egypt in Egyptian pounds within seconds. This is the efficiency we are bringing to African trade,” he said.
He said most payments are currently processed in about 12 seconds, but the system ensures transactions are completed within 120 seconds.
He added that PAPSS has reduced cross-border payment costs by over 98% while ensuring transactions comply with global standards for anti-money laundering, sanctions screening and fraud management.
He said the platform currently operates in around 20 African countries and has more than 170 participating commercial banks and fintech companies connected to the network.
“For many African entrepreneurs, the real market is not just their home country, but the entire continent of more than 1.4 billion people,” Ogbal says.
He added that improving payment efficiency will help African businesses expand across borders and maximize the potential of intra-African trade under the AfCFTA. (NAN)(www.nannews.ng)
Edited by Kevin Okunzuwa
