Tanzania is now ranked 4th highest in terms of overall attractiveness for trade in Africa. This leap in the rankings was driven by substantial investments in infrastructure and improved access to finance, enabling businesses to engage more actively in cross-border trade.
On the downside, Ghana experienced a sharp decline, moving from the 3rd position to the 7th spot, underscoring the pressures its economy continues to endure. The sharp decline raises concerns about Ghana’s ability to maintain trade competitiveness, even though it remains one of the most stable and democratic countries in West Africa. Its drop in the trade rankings is primarily due to a worsening macroeconomic environment and declining trade confidence. As economic volatility intensified in Ghana, the country’s ability to facilitate seamless trade became strained, making it harder for businesses to access foreign currency—particularly the US dollar—which is required to pay for imports, thus hindering cross-border activities, especially for Small and Medium-sized Enterprises (SMEs), which this barometer favours.
These are some of the key insights from Issue 4 of the Standard Bank Africa Trade Barometer (SB ATB), launched today.
“As Africa moves towards greater integration under the African Continental Free Trade Area (AfCFTA), the Standard Bank Africa Trade Barometer offers critical insights into the opportunities and challenges faced by African businesses and stakeholders in facilitating trade. The shifts detailed in the report reflect changing macroeconomic conditions, infrastructure challenges, and access to finance, among other factors that are impacting the trade environments of the 10 countries featured,” said Philip Myburgh, Group Head of Trade at Standard Bank Business and Commercial Banking.
The SB ATB covers seven broad thematic categories that impact Africa’s trade and upon which the barometer scores each country. These categories are: trade openness, access to finance, macroeconomic stability, infrastructure, foreign trade, governance & economy, and traders’ financial behaviour. The SB ATB serves as Africa’s leading trade index, with the aim of addressing the information gap in reliable African trade data that can support and enable the growth of intra-Africa trade.
Overall, the SB ATB trade attractiveness rankings reveal a dynamic shift in trade standings among the 10 African nations it covers. Tanzania, Mozambique, Nigeria, and Zambia have all recorded improvements in their positions, while declines were observed for Ghana, Uganda, and Kenya. Meanwhile, South Africa, Namibia, and Angola retained their rankings at positions 1, 2, and 10, respectively.
The 10 countries covered by the SB ATB are signatories to the AfCFTA and represent 66% of Africa’s gross domestic product (GDP) and 45% of the continent’s population.
The macroeconomic conditions across the countries present a mixed outlook, with relatively sustained growth tempered by ongoing challenges. The estimated real GDP growth rate for 2025 is forecasted at 4.3%, reflecting steady progress despite headwinds. Positive developments include infrastructure investments, economic diversification efforts, and increased production in sectors like oil, mining, and agriculture. However, high inflation, forecasted to reach 9.9% in 2024, remains a pressing concern, driven by currency depreciation and exacerbated by severe weather events such as droughts in Southern Africa and flooding in East Africa.
Amid these complex dynamics, it is clear that the path forward will require a focus on prudent economic management, diversified growth strategies, and bolstering resilience against climate risks.
As a trusted partner for the growth of businesses that continue to power Africa’s dynamic economies, this Issue 4 of the SB ATB report serves as a tool for businesses to make strategic decisions that foster sustainable trade and economic development across the continent.
“Given our position as Africa’s largest bank, we understand that reliable trade data is essential for making informed business decisions, particularly in the context of a dynamic and evolving trade environment. This Issue 4 of the Standard Bank Africa Trade Barometer provides businesses, governments, and investors with the insights they need to navigate challenges and seize new opportunities on the continent,” added Myburgh.
