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Ebola ‘led’ to slow trade in Africa

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Ebola ‘led’ to slow trade in Africa

Ebola ‘led’ to slow trade in Africa
Photo credit: Sunday Alamba | AP

Inadequate port infrastructure and the recent Ebola disaster are among the top hindrances to trade in Africa, with Kenya being among the affected countries.

The Pan African Association for Port Cooperation said there has been real and potential negative impact of Ebola on trade.

The disease has seen a decline in trade in the African continent, especially West Africa countries.

Speaking during the tenth PAPC conference in Kwale on 17 November 2014, the association executive secretary Michael Luguje said the impact was much felt when some countries banned vessels from Ebola-stricken countries.

The conference was opened by Kenya’s Industrialisation Cabinet Secretary Adan Mohammed.

Among countries most affected include Sierra Leone, which according to PAPC, has reported 30 per cent deflation in the economy as a result of the crisis.

“The port of Conakry in Guinea also reported a decline in port traffics for cargo and vessels in the second and third quarters of this year,” Luguje said.

He said none of the ports in the three most affected countries of Liberia, Sierra Leone and Guinea has recorded any infection of port employees or users.

Luguje urged ports Africans to increase awareness campaigns and provide support in stopping the spread of Ebola.

Systematic administrative bureaucracies that hinders trade facilitation, poor hinterland connectivity and challenges with maritime and port security have also been blamed for affecting the African maritime industry.

The association said, however, that foreign direct investments in Africa increased by 50 per cent in five years, with hotspots particularly in West Africa

Trade with Africa’s traditional partners – the European Union and the US – has also remained strong with trade flows rising from $281.6 billion (Sh25.3 trillion) to $381.1 billion (Sh34.2 trillion).

“African countries are among the fastest growing in the world with economic growth in the continent forecast at 4.8 per cent for 2013 and 5.3 per cent in 2014,” Luguje said.

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