Afreximbank says Nigeria poised to lead Africa’s digital trade revolution

Yemi Kale, Afreximbank’s Group Chief Economist, on Thursday said that Nigeria is positioned to drive Africa’s transition into a digitally enabled trade ecosystem, arguing that the country’s demographic strength and emerging innovation hubs give it a competitive edge as the continent reshapes its economic future under the African Continental Free Trade Area (AfCFTA).

Speaking in Abuja on Thursday at Afreximbank’s high-level forum on trade intelligence and digital innovation, themed “Unlocking Nigeria’s Trade and Investment Potential Through Digital Innovation and the Abuja AATC”, Kale said Africa is “at a defining inflection point” that will determine whether it reacts to global economic shifts or helps shape them.

He noted that the AfCFTA’s unified market—covering more than 1.3 billion people and a combined GDP of $3.4 trillion—offers countries like Nigeria a historic opening to boost industrialisation and deepen regional value chains. “The AfCFTA presents a unique once-in-a-generation opportunity to expand and strengthen regional value chains,” Kale said.

He added that deeper integration will help African economies diversify away from primary commodities and build resilience against external shocks, long-standing vulnerabilities that have limited growth across the continent.

Kale said digital transformation is now the most powerful lever to unlock the AfCFTA’s potential, as African economies still face fragmented markets, high logistics costs, weak trade data systems and cross-border payment frictions.

He argued that digital tools—from automated customs processing to e-commerce platforms and blockchain-enabled documentation—could sharply cut transaction costs and improve market access for Nigerian firms.

“Digital innovation is therefore not just the engine of trade—it is the new highway on which African commerce will travel,” he said. “Those who build and use this highway early will lead tomorrow’s markets.”

He cited Rwanda’s digital single-window system, which cut export processing times by more than 90%, and Africa’s mobile-money infrastructure, which handles more than $800 billion annually, as examples of what digital trade systems can deliver at scale.

Kale also highlighted the Pan-African Payment and Settlement System (PAPSS), which enables cross-border payments in local currencies and is expected to save African businesses billions in conversion costs.

He illustrated the transformative impact of digital tools with the story of a young leather-goods exporter from Kano who turned a small operation into a cross-continental business after adopting digital trade platforms and digital payments. “Her success is a clear example of how digital innovation can turn local ambition into continental and global opportunity,” he said.

Nigeria, he added, has the natural ingredients to lead Africa’s digital trade surge, including a young population, a fast-growing technology sector, and entrepreneurs who are already building products for global markets.
“We are a nation of entrepreneurs, creators and problem-solvers, and our demographic advantage is unmatched,” Kale said.

With 65% of Nigerians under age 25, he said the country’s youth “are founding technology start-ups, writing software code, designing digital solutions, and shaping entirely new industries.”
Afreximbank, he disclosed, intends to play a catalytic role by financing trade and investment, strengthening regional value chains and rolling out digital infrastructure through the Africa Trade Gateway (ATG).

Read also: Afreximbank targets $40bn by 2026 to support intra-African trade, AfCFTA

The Gateway integrates trade information, due-diligence tools, market insights and secure payment systems—capabilities he described as essential for businesses aiming to scale across Africa.

Kale said Nigeria’s leadership is already evident with the launch of the Abuja Afreximbank African Trade Centre (AATC), which he described as both a strategic asset and symbolic commitment to modernising Africa’s trade architecture. The centre combines conference facilities, SME incubation hubs, trade-information services and access to the ATG under one roof, and is the first in a planned network of one-stop trade centres across Africa and the diaspora.

Urging policymakers and private-sector leaders to seize the moment, Kale stressed, “If we commit to digital transformation, to collaboration, and to bold, forward-looking action, then Africa will not only participate in the global economy—we will shape it.”
He further argued that a digitally integrated continent would unlock new opportunities for farmers, creatives, SMEs and young innovators. “This is not a distant dream,” he said. “It is a future within our reach.”