COMESA Business Council Chairman Marday Venkatasamy. PHOTO | COURTESY Highlight:
Intra-COMESA trade, 2019
USD22.1 billion – Total intra- COMESA trade.
USD10.9 billion – Total intra- COMESA exports.
USD11.2 billion – Total intra- COMESA imports.
On 20th and 21st January 2021, Kigali will host a high-level public-private dialogue on the development of a low value retail common digital payment policy for COMESA. Convened by COMESA Business Council (CBC) and the Eastern and Southern Africa Trade and Development Bank (TDB), the meeting’s objective will be to validate and adopt the draft model COMESA digital integrated common payment policy for Micro Small and Medium Enterprises (MSMEs).
The event will bring together central bank governors, ministers of finance, ICT regulators, manufacturers, mobile network operators, commercial banks, Fintechs, microfinance institutions, and MSMEs, to consider and adopt the COMESA digital integrated common payment policy and framework for MSMEs. The outcomes of the meeting will underpin the development of a business model and infrastructure for a low-cost retail digital payment scheme for MSMEs within COMESA region.
“MSMEs play a critical role in contribution to gross domestic product (GDP) in COMESA. Cross border markets provide an opportunity for MSMEs to expand their enterprises, while simultaneously addressing unemployment and enhancing economic growth within the region,” cited Sandra Uwera, the Chief Executive Officer of CBC.
COMESA, a market with a population of 583 million people covering a geographical area of 12 million (sq km), presents the largest trade bloc in Africa. As at 2019, COMESA exported goods to the value of USD112 billion, imported goods worth USD212 billion, and had a trade deficit of USD76 billion. Intra-COMESA exports were worth USD10.9 billion, and intra-COMESA imports were worth USD11.2 billion. The total intra-COMESA trade stood at USD22.1billion in 2019. As part of the larger Continental Free Trade Area, COMESA has a prosperous market that can effectively lead in agricultural trade, manufacturing and professional services.
The region’s trade facilitation mechanisms however still require strengthening to ensure sustainable value chains and supply chains across borders with free movement of goods and services. “The impact of COVID-19 on conventional supply chain networks has created a sense of urgency in facilitating efficient local sourcing of inputs by SMEs. Frictionless transactions that are fast and low cost are therefore central to the enhancement of intra-regional trade and economic development,” said Mr. George Odhiambo, Managing Director of KCB Bank Rwanda Plc, and member of the CBC Digital Financial Inclusion Advisory Committee.
Judith Obholzer, Managing Executive […]
