Continental free trade area: Experts say administrative, logistical restrictions limiting entrepreneurs derive benefits.

Placed under the theme: “Impact of the AfCFTA on Cameroonian entrepreneurs: Challenges and opportunities”, it was organized as part of CEPI’s Trade for You programme.

The event which was attended by key stakeholders, had as objective to reflect on the challenges that the implementation of the AfCFTA poses to local entrepreneurs, but also on the many opportunities it offers to the private sector in Cameroon.

The National Coordinator of CEPI, Haiwang Djamo, highlighted the importance of the AfCFTA in Africa's economic integration strategy and emphasized the crucial role that entrepreneurs must play in the success of this continental agreement. 

According to economic expert, Hermann Doel Toukam, entrepreneurs in Cameroon face several challenges that limit them from fully reaping the benefit of the continental free trade area. He cited administrative and logistic restrictions, and lack of centralized information for SMEs, amongst other challenges.

“There are mobility challenges faced by entrepreneurs who struggle to get their products to high-potential regional markets. Despite the AfCFTA, the free movement of people and goods remains hampered by administrative and logistical restrictions. This persistent problem severely limits trade,” he stated.

Toukam also stressed that weak infrastructure, particularly roads, is an obstacle to economic integration and indicted States to shoulder their responsibilities in building transport infrastructure, implementing appropriate standards, and supporting entrepreneurs. 

Going by Toukam, access to energy remains limited in several rural areas of the country, which severely penalizes the informal sector that represents nearly 90% of the Cameroonian economy.

On her part, Dr. Annie Nkeng, Finance and Economic Development expert, pointed out customs inefficiencies and the lack of infrastructure hampering entrepreneurs from scaling their potentials. She emphasized the crucial role of governments and institutions in simplifying procedures and making information accessible to SMEs.

She identified agribusiness, textiles, and digital services as promising sectors for exports, while encouraging innovation to meet regional needs. To help SMEs find reliable partners, she recommended the use of sectoral networks and platforms supported by African chambers of commerce.

To overcome the differences in standards between countries, Christian Hervé Balogog, economic expert, suggested the adoption of regional standards and common certifications.

On the issue of financing, he mentioned African funds and regional banks as suitable solutions, while lamenting the difficulties of accessing cross-border credit. He also urged entrepreneurs to reliable resources, such as African Union guides and training offered by regional financial institutions.