Foreign direct investment is more effective than remittances and overseas development assistance at generating sizable economic growth and development.
Because the US is still the biggest source of global investment , African countries must change their strategy to attract foreign capital in the next critical Biden/Harris years. Africa, home to 1.3-billion people, and with trade valued at around USD 4.3 trillion, can open its market up, cut trade cost and become the next global trade and investment frontier, argues Professor Gilbert Khadiagala, Director of the African Centre for the Study of the United States at Wits University.Firstly, the Africa Continental Free Trade Area is probably the continent's most important trade facilitation mechanism.
AGOA's imminent expiration means the continent must formulate a new and comprehensive trade and export policy, which should be at the top of the African agenda, especially since experience demonstrates bilateral and multilateral trade pacts usually take more than five years to negotiate.
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