Impact of African Free Trade Area

The African Continental Free Trade Area has the potential to significantly improve Africa's economic prospects by lifting millions out of poverty. However, non-tariff barriers like quotas and import restrictions pose significant challenges. Addressing these barriers is crucial, as it is currently more expensive to trade within Africa than with other continents. If these barriers are reduced, Africa could see substantial economic gains. Real-world examples highlight the impact of trade disputes, but efforts are underway to address these issues. The video concludes with a call to action for increased integration and growth.

What is one of the main goals of the African Continental Free Trade Area?

• To increase tariffs on imported goods

• To reduce formal trade barriers

• To limit trade between African countries

• To increase export taxes

What is the estimated number of Africans that could be lifted out of extreme poverty by the free trade area?

• 10 million

• 40 million

• 20 million

• 30 million

What is a significant challenge to trade within Africa mentioned in the video?

• Lack of demand

• Non-tariff barriers

• High tariffs

• Overproduction

How much more could African countries potentially earn annually by reducing non-tariff barriers?

• 20 billion dollars

• 25 billion dollars

• 15 billion dollars

• 10 billion dollars

What was the complaint filed by the Tanzanian glass manufacturer about?

• Increased export taxes

• Lack of infrastructure

• Unnecessary border restrictions by Kenyan authorities

• High tariffs on glass

What is the potential impact of addressing non-tariff barriers on intra-African trade volumes?

• They could decrease by half

• They could double

• They could remain the same

• They could triple

What was a result of the dispute between The Gambia and Senegalese transport unions?

• Increased trade efficiency

• Easier border crossing

• Difficulties for commercial vehicles

• Lower trade costs

What is the role of the African Continental Free Trade Area Secretariat?

• To impose new tariffs

• To set up a website for complaints about non-tariff barriers

• To increase export taxes

• To limit trade between African countries

What is a consequence of not addressing non-tariff barriers according to the video?

• Higher trade costs

• Lower export taxes

• More trade agreements

• Increased trade efficiency

What is the potential impact of the free trade area on the African continent?

• It will improve the lives of millions

• It will have no impact

• It will worsen economic conditions

• It will only benefit a few countries