UNDP launches HerAfCFTA initiative with $1m seed investment

The United Nations Development Programme launched the HerAfCFTA initiative in Nigeria with a $1m seed investment, to promote women’s empowerment in the African Continental Free Trade Area.

The initiative, which was launched in Lagos recently, aims to enhance women’s participation in trade and economic activities, promoting gender equality and inclusive economic growth across the continent.

The United Nations Assistant Secretary-General and Director of the UNDP Regional Bureau for Africa, Ahunna Eziakonwa, disclosed in a statement that the initiative underscored the importance of collective effort in securing a prosperous future for women in the unified African market.

“This is just a seed investment. We are going to invite many more partners to invest in this initiative, as the plan is to provide support for women-owned SMEs and direct support to 300 women-owned SMEs through comprehensive trade readiness and capacity development programs,” she explained.

According to Eziakonwa, this vital component will be implemented in collaboration with the Women’s Chamber of Commerce, Industry, Mines and Agriculture and UN Women.

A 2022 report by UN Women, UNDP and the AfCFTA Secretariat highlighted significant challenges faced by women small business owners, with 31.9 per cent reporting violence or aggression, particularly in informal cross-border trade, of which 70 per cent is carried out by women.

The UNDP official stated that HerAfCFTA was dedicated to enhancing trade and investment, with a particular focus on empowering women and youth-owned businesses.

She noted that there would be catalytic funding for women’s chambers of commerce, industry, mines and agriculture to advance a pipeline of investment-ready businesses.

According to Eziakonwa, the UNDP is also seeking a partnership with the Nigeria Postal Services to repurpose selected post centres into one-stop shops for access to public services.

“There are so many idle post offices across this nation. We are going to transform them all into market hubs, and that in itself is an innovation. These initiatives are more than just an investment. We are also looking at a commitment to creating a more inclusive and prosperous future for women and youth entrepreneurs, driving sustainable economic development and growth across Africa,” she stated.

In her remarks, the minister of Industry, Trade and Investment, Doris Nkiruka Uzoka-Anite, said Africa accounts for just two per cent of global trade, adding that the AfCFTA aims to change this by promoting inter-African trade.

“As we integrate more effectively into the global economy, we enhance our competitiveness on the world stage. For investment and consumer spending, the International Trade Center estimates that AfCFTA’s target market comprises 1.27 billion people and is projected to rise to 1.7 trillion by the year 2030.

“Africa’s aggregate GDP is expected to reach $6.7 trillion. Africa will attract about $4tn in investment and consumer spending,” the minister revealed.

For job creation and SME competitiveness, AfCFTA isn’t just about numbers; it’s about people, the minister said.

“By facilitating job creation and empowering African small, and medium-sized enterprises, Nigeria can lift ordinary citizens across the country, she added.

Speaking on the HerAfCFTA initiative, Uzoka-Anite, represented by the CEO of the Nigeria Export Promotion Council, Nonye Ayeni, averred that the HerAfCFTA initiative was a commitment to ensuring that women are not just participants but are leaders in the new era of inter-African trade.

“Our approach is holistic, addressing policy support, trade facilitation, business networking, investment opportunities and digitalisation. We recommend that for women to thrive in every AfCFTA framework, we must dismantle barriers that have long hindered their full participation in trade,” she added.