Why Nigeria, Others Must Leverage AFCFTA Over Uncertain AGOA

Nigeria is the largest economy in Africa, but its low trade-to-GDP ratio and heavy dependence on crude oil show that the country is not fully capitalizing on its economic strength.

This is why the Africa Continental Free Trade Agreement (AfCFTA) becomes critical. With its goal of creating a single African market, AfCFTA presents a major opportunity for Nigeria to diversify exports, expand regional trade, and reduce vulnerability to global price shocks benefits that can only be realized through active engagement.

At the same time, the future of AGOA remains uncertain, and the recent removal of other African countries highlights how unpredictable the arrangement can be. Relying on AGOA alone puts Nigeria at risk, especially with compliance concerns and shifting U.S. policies.