Afreximbank estimates the untapped potential of intra-African trade at 77 billion dollars.

Trade between African countries remains significantly below the continent’s potential. The untapped intra-African export potential is estimated at $77 billion, according to the 2025 report on trade development efficiency published by the African Export-Import Bank, Afreximbank.

This amount represents more than a third of the current value of intra-African trade. Trade between the countries of the continent reached $220.3 billion in 2024, an increase of 12.4% compared to the previous year.

Realizing this potential could raise intra-African trade to nearly $300 billion. This will depend particularly on the ability of states to reduce trade barriers, improve infrastructure, and strengthen regional value chains.

The industry concentrates the main export opportunities

The most significant opportunities involve manufactured and semi-processed goods. Afreximbank specifically identifies machinery, automobiles and their parts, electrical equipment, processed food products, chemicals, plastics, and mineral products.

This structure distinguishes intra-continental trade from its exchanges with the rest of the world. Manufactured and semi-processed goods account for over 60% of intra-African exports, compared to a share of between 13% and 17% in African exports destined for external markets.

Trade between African countries thus offers more opportunities to local industries than exports to other continents, which are still largely dominated by raw materials. Local processing of resources could allow African economies to retain a larger share of the value created while developing industrial employment.

The African Continental Free Trade Area serves as the main framework aimed at promoting this evolution. It foresees the gradual reduction of tariffs and other obstacles that limit the flow of goods and services among member states.

However, its implementation remains uneven. Businesses continue to face transportation costs, slow border procedures, regulatory differences, non-tariff restrictions, and difficulties in accessing trade financing.

The annual trade financing gap in Africa remains over $120 billion, according to data cited in the report. In 2025, Afreximbank claims to have deployed $4.8 billion in trade finance lines across 26 countries, contributing to a 18.7% reduction in this deficit.

The bank also indicates that it facilitated $8.7 billion in intra-African trade and supported $2.8 billion in manufactured exports over the year. Its interventions are estimated to have generated nearly 59,000 sub-loans in favor of small and medium-sized enterprises.

Trade integration also relies on the development of suitable payment systems. The Pan-African Payment and Settlement System, known as PAPSS, allows businesses to conduct cross-border transactions in local currencies, without necessarily going through the dollar or another international currency.

In 2025, this platform covered 72 commercial banks in 27 countries, according to Afreximbank. Its deployment is expected to reduce currency conversion costs and facilitate the settlement of transactions between African businesses.