The African Tax Administration Forum (ATAF) says African countries must urgently strengthen tax co-operation among themselves if the African Continental Free Trade Area (AfCFTA) is to achieve its full potential.

Speaking on the challenges facing cross-border trade, ATAF’s Senior Policy Advisor to the African Union, Emmanuel Eze, revealed a stark imbalance in how the continent handles international tax agreements. He pointed out that while Africa is part of more than 350 tax treaties globally, fewer than 50 of those agreements are actually between African nations themselves.

Eze stressed that these treaties are supposed to be vital instruments that simplify cross-border business and taxation. However, because African states currently have far more agreements with countries outside the continent than with each other, it complicates the goal of creating a unified continental economy. He noted that correcting this imbalance is a critical step toward transforming Africa into a true common market under the AfCFTA framework.

–ChannelAfrica–