Qualitative Analysis of Ethiopia’s Readiness to African Continental Free Trade Area (AfCFTA)

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Date

2022-07

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Publisher

Addis Ababa University

Abstract

The research paper analyzed Ethiopian readiness to AfCFTA, to conduct this study, qualitative approach was employed. A total of 33 respondents were selected and involved as sample respondents in the study. Semi structured interview technique and both primary and secondary data sources were used. The study used non probability sampling procedure specifically purposive sampling technique in undertaking this research. The collected data were analyzed by thematic analysis method. The findings of this study show SMEs in Ethiopia aren‘t ready to AfCFTA. Awareness wise, majority of the Small-to-Medium Enterprises haven‘t heard about the CFTA, the requirements to participate in it and have not received training about the CFTA. Institutions like AACCSA, ECCSA and MoTRI are not giving equal attention to SMEs as they give big businesses and corporations. The research found in trade facilitation aspect Ethiopia is ready for AfCFTA. Almost all requirements set by AfCFTA about trade facilitation are implemented or are in the project phase. The research also found Ethiopia is ready to AfCFTA in macroeconomic policies aspect, the plans government hasn‘t been finished yet and projects in initial stages are hope givers. In digitalization, supply chain, national studies for the CFTA, Foreign Direct Investment (FDI) and industrialization related macroeconomic activities: Ethiopia is doing well to be ready while infrastructure, private sector, and sub-committee related policies and actions need better focus to be ready for the CFTA. Recommendation and future studies are forwarded.

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Keywords

AfCFTA, Private sector, Trade facilitation, Critical policies

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