East Africa's Digital Future: Unpacking the EU-EAC Forum's Vision for AfCFTA Success By Thomas Busisa
I was honoured to attend the European Union-East African Community (EU-EAC) Common Objectives in Regional Economic Integration (CORE) Program Peer-to-Peer 2025 Forum. This pivotal event brought together stakeholders to discuss vital aspects of regional economic integration, including:
● Harmonizing financial services across the EAC.
● Driving tech-driven transformation for inclusive economies.
● Defining the role of regulation in accelerating cross-border trade. This collective endeavour is squarely aimed at unlocking the full promise of the African Continental Free Trade Agreement (AfCFTA), fostering a continental market powered by regional strength. The forum underscored that this transformative space is inclusive, welcoming everyone from policymakers and tech entrepreneurs to fintech innovators, regional trade advocates, development partners, and young citizens passionate about Africa's immense potential. Key Collaborative Insights from Day 1 of the EU-PAC event, 2025: The forum emphasized a strong spirit of collaboration and a shared vision for East Africa's future. Several influential voices set the tone for the discussions:
● Ms. Flavia Busingye (EAC Secretariat) opened the forum with a message of warmth and a powerful call for unity in East Africa's integration journey.
● Ms. Sanne Williams (EU Delegation), Mr. Adrian Njau (EABC), and Ms. Annette Ssemuwemba (EAC) collectively stressed the urgency of aligning efforts to fast-track AfCFTA goals.
● Hon. Henry Musasizi delivered a resonant challenge to all stakeholders: "Innovate or be left behind!", underscoring the shared responsibility for fostering adaptability and forward-thinking in the region’s development. The Broader Digital Agenda for AfCFTA: A key takeaway from the forum is the ambitious agenda for East Africa to "speak one digital language" across its financial systems. This is a critical step in actualizing the AfCFTA’s ambition. The AfCFTA, initially conceived in January 2012 by the African Union, aims to create a single continental market for goods and services, facilitating the free movement of business persons and investments (Briggs, 2021, pp. 195, 197, 215, 223). Pre-signed in Kigali, Rwanda in March 2018, the AfCFTA unites all 55 member states of the African Union. It encompasses a vast market of over 1.2 billion people and a combined GDP exceeding US$3.4 trillion, establishing it as the world's largest free trade area since the formation of the World Trade Organization (Ibit). This comprehensive agreement is projected to significantly boost intra-African trade, with estimates suggesting a 52.3% increase through the elimination of import duties. This growth could potentially double if non-tariff barriers are also reduced. Furthermore, the AfCFTA is anticipated to enhance competitiveness at both industry and enterprise levels by promoting scale production, broader continental market access, and improved resource allocation. It stands as a central program within the AU's Agenda 2063, serving as a continental blueprint for socio-economic transformation and playing a crucial role in achieving the Sustainable Development Goals (SDGs) across Africa. The agreement's scope extends beyond goods, covering trade in services, investment facilitation, intellectual property rights, and competition policy (Ibit). Navigating Challenges and Opportunities: While the AfCFTA marks a landmark in intra-African free trade and leverages the successes of Africa's Regional Economic Communities (RECs), it also faces inherent challenges. Historically, African states have struggled to fully capitalize on their significant internal markets, leading to intra-African trade remaining modest compared to other regions. Issues such as capacity constraints, political polarization, and institutional hurdles can impede the effective implementation of trade agreements (Nwankwo and Ajibo, 2020). The AfCFTA acknowledges RECs as foundational building blocks for continent-wide integration, encouraging State Parties within RECs with higher levels of trade liberalization to maintain or even enhance their existing frameworks. However, this "bottom-up" approach carries the potential for fragmentation in norm generation. This highlights the crucial need for skillful management of tensions and expectations between RECs and the AfCFTA to ensure a coherent, rules-based trading system. The African integration journey is distinct, and while valuable lessons can be drawn from successful regional initiatives like the European Union, a direct, wholesale adoption of their approach may not always be suitable given Africa's unique context (Ibit). As a scholar of global trade, I view this forum as a vital opportunity to translate broad frameworks into practical, citizen-serving systems. The collective gathering of regulators, researchers, youth, investors, and leaders serves as an essential platform for collaboratively addressing these complexities, sharing insights, and co-creating sustainable solutions. This concerted effort is paramount for fostering new markets, driving economic growth, and attracting foreign direct investment through enhanced intra-African trade. As the forum concluded, the unanimous sentiment was clear: "We've only just begun" to realize the continent's immense potential. Key Takeaways for Stakeholders:
● Regional integration is no longer optional—it's an imperative echoed across keynote addresses.
● Financial interoperability and digital innovation remain pivotal to AfCFTA's success.
● A strong call was made for policy alignment and institutional collaboration to support the evolving fintech landscape.