Economic Growth: Trade & Investment

Economic Growth: Trade & Investment :

In pursuit of a prosperous and economically dynamic West Africa, USAID/West Africa’s Trade Competitiveness Program seeks the following intermediate results:
Reduce intra-regional barriers to trade;
Improve trade policy coordination among West African countries;
Harmonize regional monetary and fiscal policies; and
Improve regional institutional capacity concerning energy markets and policies.
USAID West Africa’s program is implemented principally through regional trade hubs, currently located in Dakar, Senegal and Accra, Ghana, in close coordination with such regional institutions as the Economic Community of West African States (ECOWAS) and the West African Economic and Monetary Union (WAEMU). Programs target export products under Africa Growth and Opportunities Act (AGOA), addressing both physical barriers to trade (roads, ports, power, and telecommunications) and institutional barriers (customs regulations, administrative inefficiencies).
Major accomplishments attributed to USAID’s assistance in the social sector include:
By close of FY 2005, there were 15 AGOA (Africa Growth and Opportunities Act) Resource Centers throughout the region to respond promptly with in-depth information on AGOA provisions.
USAID trade program completed seven important pest risk assessments successfully identifying eleven commodities for export.
USAID West Africa trained 8,575 private-sector and government representatives on the intricacies of global trade shows and negotiations with major industry buyers.
The value of new exports from West Africa to the U.S. amounted to $28 million.
Increased women’s participation in trade through targeted product lines such as furniture design and clothing.
Current Activities
To these ends, USAID/West Africa supports the following principal program activities:
West Africa Trade Hub/Accra and West Africa Trade Hub/Dakar (WATH): WATH provides assistance to West African businesses, governments, and other organizations in harnessing the provisions of the Africa Growth and Opportunity Act (AGOA) and improving capacity for global trade. Two Trade Hubs – the main office in Accra and a satellite Hub in Dakar, support policy reform, export promotion, AGOA services and communication to 21 countries in the region.

Common External Tariff (CET): The CET project provides technical assistance to the 15-member Economic Community of West African States (ECOWAS) to help member states implement the Common External Tariff, an effort to set up one set of tariffs for all products entering the region. Countries that are not members of the West African Economic and Monetary Union (WAEMU) (Cape Verde, The Gambia, Ghana, Guinea, Nigeria and Sierra Leone) are priority countries.
West Africa Power Pool (WAPP): WAPP is a framework for regional trade in electricity among ECOWAS member states that simultaneously seeks to promote investment in the West African energy sector. Support activities include technical and management assistance to national utilities and energy ministries, building regional regulatory capacity, and optimizing energy investment plans. These activities are projected to save billions of dollars in unnecessary investments while identifying the barriers to commercial investment in West Africa’s energy sector.
West Africa Gas Pipeline (WAGP): The West Africa Gas Pipeline project will deliver natural gas from Nigeria to markets in Ghana, Benin and Togo, reducing flaring, providing access to cheaper and cleaner energy and supporting economic growth in the region. USAID/West Africa supports this effort by assisting ECOWAS and member states harmonize rules and regulations, negotiate with private developers, create the enabling environment, and understand the major issues pertaining to the consortium agreement. The West African Gas Pipeline Company (WAPCo) is comprised of Chevron Texaco, the Nigerian National Petroleum Corporation, Shell, the Volta River Authority, and Bengaz and Sotogaz the developer.
Market Information Systems and Traders Organizations in West Africa (MISTOWA): This project seeks to enhance economic growth in West Africa by increasing trade in agricultural commodities through strengthening market information systems and regional producers’ organizations. MISTOWA is focused on improving information surrounding and increasing regional trade in maize, rice, cassava, cattle, tomatoes, onion, cashew, shea and fertilizer in Benin, Burkina Faso, Ghana, Nigeria and Senegal.
Telecommunications Infrastructure Program: USAID/West Africa has bought into USAID/Washington-managed effort to strengthen the West African Telecommunications Regulators Association (WATRA). The goal of the effort is for WATRA to form a common telecommunications market.
For more information, please contact: Program Office, USAID/West Africa