The SME Opportunity
Small and medium enterprises (SMEs) represent the backbone of African economies, employing the majority of workers and contributing significantly to GDP. Yet they face persistent challenges: limited access to finance, skills gaps, and inability to operate at regional scale.
AfCFTA Benefits for SMEs
Regional trade integration offers opportunities: access to larger markets, opportunities to specialize, potential for supply chain integration. But SMEs need support to capitalize: export credit, quality standards compliance, market information.
Policy Levers
Financing: Better access to working capital and growth capital through dedicated SME banks, equipment leasing, and guarantee schemes.
Skills: Training in business management, marketing, digital tools, and quality standards.
Market Access: Information systems helping SMEs identify export opportunities and connect with buyers.
Case Studies
In Rwanda, support for SMEs in coffee, tea, and craft industries has driven export growth. Ethiopian manufacturing SMEs are beginning regional supply chain integration. These successes share common elements: targeted financing, technical support, and quality assurance.