The Sovereignty of States under the AfCFTA: Where Do We Draw the Line?

Abstract

The African Continental Free Trade Area (AfCFTA) aims to promote intra-African trade, stimulate economic growth, and enhance regional cooperation. This unique initiative raises pertinent questions regarding the balance between the sovereignty of states, and regional, sub-regional, and national economic commitments. Although the AfCFTA founding agreement reaffirms in its preamble “the right of State Parties to regulate within their territories,” practical implications suggest that states’ sovereignty may not be fully safeguarded under the framework of the continental free trade area. It is evident that multilateral agreements, such as the Agreement Establishing the AfCFTA (AfCFTA Agreement), necessitate a degree of compromise where states may need to relinquish certain rights to participate fully in the initiative. Through a qualitative analysis of the AfCFTA Agreement, and the relevant case studies, as well as its operational development, this article examines key areas where state sovereignty may be at odds with the objectives of regional integration. It is also essential to recognise that the flexibility afforded to “state parties” in pursuing legitimate policy objectives is intertwined with sovereignty considerations, which introduces a degree of controversy. The author concludes that, while the AfCFTA presents an opportunity for collective economic growth, it also requires careful consideration of how to continuously preserve states’ autonomy without undermining the goals of regional growth and cooperation. The sovereignty of the AfCFTA vis-à-vis international donors, which is a crucial element in protecting its members’ sovereignty, is also explored. Potential reforms to the AfCFTA framework to explicitly address these concerns, are recommended.