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Welfare Implications of COMESA-EAC-SADC Tripartite Free Trade Area

Author

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  • Albert Makochekanwa

Abstract

This study investigated the extent to which the implementation of the COMESA-EAC-SADC tripartite free trade area (T-FTA) will impact on the 26 participating member countries. The impact analysis was done with respect to welfare implications. The World Integrated Trade Solution (), the Software for Market Analysis and Restrictions on Trade (WITS-SMART) approaches were employed for the research. The findings were that close to $2 billion worth of new trade will be created, with the main beneficiaries being DRC and Angola. Around $454 million trade will be diverted resulting in a positive net trade of $1.5 billion across the 26 countries. The results also suggest that around $1 billion revenue will be lost following removal of import duties.

Suggested Citation

  • Albert Makochekanwa, 2014. "Welfare Implications of COMESA-EAC-SADC Tripartite Free Trade Area," African Development Review, African Development Bank, vol. 26(1), pages 186-202.
    • Handle: RePEc:adb:adbadr:2126
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    Cited by:

    1. Simplice A. Asongu & Pritam Singh & Sara Le Roux, 2018. "Fighting Software Piracy: Some Global Conditional Policy Instruments," Journal of Business Ethics, Springer, vol. 152(1), pages 175-189, September.
    2. Walid Gani, 2021. "The causal relationship between corruption and irresponsible behavior in the time of COVID‐19: Evidence from Tunisia," African Development Review, African Development Bank, vol. 33(S1), pages 165-176, April.
    3. Asongu, Simplice A., 2017. "Assessing marginal, threshold, and net effects of financial globalisation on financial development in Africa," Journal of Multinational Financial Management, Elsevier, vol. 40(C), pages 103-114.
    4. Gabriel Mhonyera & Daniel Francois Meyer, 2023. "The Impact of AfCFTA on Welfare and Trade: Nigeria and South Africa in Light of Core Export Competences," Sustainability, MDPI, vol. 15(6), pages 1-16, March.
    5. Bonga-Bonga, Lumengo & Mabe, Queen Magadi, 2020. "How financially integrated are trading blocs in Africa?," The Quarterly Review of Economics and Finance, Elsevier, vol. 75(C), pages 84-94.
    6. Nechifor, Victor & Boysen, Ole & Ferrari, Emanuele & Simola, Antti & Wafula, Martin & Laichena, Joshua & Malot, Kenneth, 2021. "The AfCFTA at a country level: trade liberalization in Kenya," Conference papers 333308, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    7. Socrates K. Majune & Judy K. Kaaria & Evelyne N. Kihiu, 2023. "Determinants of intra‐COMESA trade in services," African Development Review, African Development Bank, vol. 35(4), pages 416-428, December.
    8. Simplice Asongu & Lieven De Moor, 2015. "Financial globalisation and financial development in Africa: assessing marginal, threshold and net effects," Working Papers of the African Governance and Development Institute. 15/040, African Governance and Development Institute..
    9. Catherine Phambuka-Nsimbi, 2018. "Regional Economic Integration: Prevalence of Institutional-based Trust and its use to enhance Trade," International Journal of Regional Development, Macrothink Institute, vol. 5(1), pages 1-54, December.
    10. Selim Inançli & Haman Mahamat Addi, 2019. "Trade Creation and Trade Diversion Effects in the Economic Community of Central African States," African Development Review, African Development Bank, vol. 31(3), pages 307-317, September.
    11. Habtamu Shiferaw Amogne & Taiji Hagiwara, 2021. "Impact of alternative regional trade arrangements on the Ethiopian economy," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 10(1), pages 1-26, December.

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