Abstract:
The African Continental Free Trade Area Agreement (AfCFTAA) which has established free trade area for African goods and services is entered in to force as of May 2019. Like any other economic integration agreements it is expected to bring various opportunities and challenges to members, which may differ in type and magnitude with each country specific contexts. Ethiopia has become member of AfCFTAA which makes it the first free trade area agreement the country have ever signed and ratified. This membership presents on one hand various potential opportunities; and on the other hand diversified potential challenges depending on Ethiopia specific circumstances. Understandably, the potential opportunities may not be straightforward guaranteed by a mere membership. Potential challenges could bring additional burden to already weak economy. It follows that, unless potential opportunities and challenges are well identified, explored, understood and sufficiently addressed the membership may not be fruitful leading to undesirable results. This makes the study of main potential opportunities and challenges awaiting Ethiopia with regards to its membership in the AfCFTAA very essential. Accordingly, through review and analysis of AfCFTAA legal texts and documentary evidences the study has found acceleration of economic growth, predictable larger market access, attraction of FDI, increased competitiveness and consumer choice as main potential opportunities. The study has also found lack of public participation, conflict and instability, lack of competitiveness, product standard related problem, institutional problem, and others as main internal potential challenges. Similarly, erosion of sovereignty, revenue loss, adjustment costs, unemployment risk, and others as main potential external challenges. The study further has pointed out that success of Ethiopia membership is highly determined by the ability the government and businesses to overcome potential challenges before it is too late and to capitalize on potential opportunities. The study also argues that despite the presence of significant potential opportunities to catch up with, there is also a long way to get there and home works to be accomplished. Finally, the study has ended up by recommending possible solutions which can help to ensure potential challenges are minimized and potential opportunities are maximized to the interest of the country, the business community and the public at large. DEBREMARKOS UNIVERSITY SCHOOL OF LAWTHE AFRICAN CONTINENTAL FREE TRADE AREA AGREEMENT: OPPORTUNITIES AND CHALLENGES AWAITING ETHIOPIAA Thesis Submitted in Partial Fulfillment for the Requirements of LLM Degree on Investment Law and Governance at School of Law, Debremarkos University, Debremarkos.By: Mohammed Abdu HassenId Number: Gss/1382/09Advisor: Mr. Zemenu Tarekegn (LLM, LLM, Asst. Prof)July, 2020 DebremarkosDEBREMARKOS UNIVERSITY SCHOOL OF LAWApproval Sheet by the Board of Examiners The African Continental Free Trade Area Agreement: Opportunities and Challenges Awaiting EthiopiaBy: Mohammed Abdu HassenBoard of Examiners Name SignatureAdvisor: Zemenu Tarekegn (LLM, LLM, Ass. Professor) ______________ Internal Examiner: Alemu Taye (LLM, Ass. Professor) ______________External Examiner: Misganaw Gashaw (PHD Candidate, Ass. Professor) ______________ Date _______________DeclarationI declare that, "The African Continental Free Trade Area Agreement: Opportunities and Challenges Awaiting Ethiopia" is my own work, that it has not been submitted before for any degree or examination in any other university, and that all the sources I have used or quoted have been indicated and acknowledged as references. By: Mohammed Abdu HassenSigned: _________________ July 2020 DebremarkosStatement of CertificateThis is to certify that Mr. Mohammed Abdu Hassen has carried out his thesis work on the topic titled 'The African Continental Free Trade Area Agreement: Opportunities and Challenges Awaiting Ethiopia' under my supervision. The work is original.___________________________ _________________ ___________________ Advisor Signature Date Acknowledgements I thank God for giving me the courage, the determination and the guidance in writing this thesis, despite all the difficulties. I would like to express my gratitude to my advisor Ass. Proffesor Zemenu Tarekegn for his great encouragement, and scholarly critical comments from the inception up to the finalization of this research. Lastly, my thanks go to my families, particularly to my wife Marta Chere and my mother, for their unfailing support, strength, and love. I also offer my regards and blessings to all of those who supported me in any respect during the completion of the research.Table of ContentsAcknowledgements------------------------------------------------------------------------------------------ivTable of Contents --------------------------------------------------------------------------------------------vAbbreviations and Acronyms------------------------------------------------------------------------------viiAbstract--------------------------------------------------------------------------------------------------------ix
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