Comparative Analysis of Dispute Settlement System Under AfCFTA and WTO

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Date

2021

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AAU

Abstract

The Agreement Establishing the African Continental Free Trade Area (the “AfCFTA Agreement”) is signed by all African Union member States except Eritrea, among other things, to enhance economic integration of the African continent by establishing a single and liberalized market for goods and services. Members of the AfCFTA adopted the Protocol on Rules and Procedures on the Settlement of Disputes (“DS Protocol”) to create security and predictability to the African Continental Free Trade Area. However, the DS Protocol is almost entirely designed based on the World Trade Organization Dispute Settlement Understanding without giving due regard to the African dispute settlement systems (DSSs), especially Regional Economic Communities’ DSSs. The DS Protocol has provisions that are inconsiderate of the African context. This study shows the benefits and risks of adopting the WTO DSS to AfCFTA. It also assesses the strength and limitations of the AfCFTA DSS, which need amelioration, and explores the new developments introduced by the AfCFTA DSS.

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