African business leaders are expressing strong confidence in the future of cross-border commerce, even as financing constraints, credit-risk perceptions and gaps in the implementation of continental trade mechanisms continue to limit the growth of intra-African trade.
Preliminary findings from the 2026 PAFTRAC Africa CEO Trade Survey show that 81.3 per cent of senior executives expect their cross-border business activity to increase over the next 12 months.
The findings were presented at the 2026 World Trade Organization Public Forum in Geneva, offering an early picture of how Africa’s private sector views the continent’s progress toward greater economic integration.
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The survey has become an important indicator of private-sector sentiment on African trade. Now in its sixth year, it has expanded from approximately 400 respondents in 2021 to more than 2,500 business leaders in 2026, making this year’s edition the most extensive survey conducted by PAFTRAC on executive perspectives on trade.
One of the most significant findings is the growing preference for African markets. Intra-African commerce has now overtaken China, Europe and the United States as the principal target destination identified by surveyed executives for their international business activity.
However, this growing commercial interest has yet to translate into a major increase in the share of merchandise traded between African countries. Intra-African merchandise trade remains at an estimated 15 to 18 per cent of total African exports, showing limited movement despite the operational rollout of the African Continental Free Trade Area.
The findings point to a widening gap between the ambitions of African businesses and the systems available to support them. Companies increasingly see neighboring and regional African markets as important growth opportunities, but continue to face barriers that make cross-border transactions more expensive, complicated and risky.
Trade finance is one of the most significant challenges identified by the survey. Fifty-seven per cent of executives said access to financing for cross-border transactions was either difficult or very difficult.
The financing challenge is particularly significant for small and medium-sized enterprises, which account for a substantial share of economic activity and employment across Africa. The International Finance Corporation estimates that the continent’s SME financing gap exceeds US$331 billion.
Credit-risk perceptions represent another major obstacle. The survey highlights analysis from the IFC estimating that African sovereign and institutional borrowers face an estimated US$31 billion in additional annual financing costs because of excess risk premiums associated with international credit assessments.
PAFTRAC Chairperson Professor Patrick Utomi described the issue as a “prejudice premium,” arguing that the way risk is assessed can result in African economies paying more to access capital even when their underlying economic and political circumstances do not necessarily justify the difference. Such financing costs can have direct consequences for African trade. Higher borrowing costs can make it more expensive for businesses to finance inventories, purchase equipment, move goods across borders or establish operations in new markets.
For companies operating across multiple African countries, these costs can reduce competitiveness and make intra-African transactions less attractive compared with established international supply chains.
The survey also identifies implementation as a major challenge for the AfCFTA. While 70.2 per cent of respondents said they had experienced a tangible operational impact from AfCFTA-related reforms, knowledge of some of the mechanisms designed to make continental trade easier remains relatively low.
More than half of respondents said they were unfamiliar with the Pan-African Payment and Settlement System, or PAPSS, which was developed to facilitate cross-border payments in African currencies and reduce dependence on traditional foreign-currency clearing arrangements. Limited awareness also extends to other AfCFTA-related mechanisms, including the E-Tariff Book, the African Trade Observatory and tools for reporting non-tariff barriers.
The findings suggest that the existence of continental trade mechanisms does not automatically guarantee their effective use by businesses. Greater awareness, practical training and easier access to information could therefore become important elements in translating the AfCFTA framework into increased commercial activity.
For African companies, reducing the administrative and financial costs associated with cross-border transactions remains critical to unlocking the potential of a more integrated continental market. The survey’s results also reinforce the importance of strengthening financial infrastructure alongside trade agreements. Improved access to trade finance, more efficient payment systems and greater confidence in cross-border transactions could help businesses take advantage of opportunities created by the AfCFTA.
The strong outlook among executives nevertheless provides an indication of significant private-sector appetite for greater African integration.
With more than four in five surveyed executives expecting their cross-border activity to expand over the next year, African businesses appear increasingly willing to look beyond domestic markets and build commercial relationships across the continent.
The challenge now is to ensure that infrastructure, finance, policy and regulatory systems develop quickly enough to support that demand.
PAFTRAC said the full 2026 Africa CEO Trade Survey Report is scheduled for publication in October. The report will provide a more detailed assessment of trade barriers, AfCFTA implementation and financing constraints, while also presenting policy recommendations developed from the responses of more than 2,500 executives.
The preliminary findings were unveiled during a September 16 session at the WTO Public Forum in Geneva convened by Afreximbank and PAFTRAC.
The panel included Professor Patrick Utomi of PAFTRAC, Helina Bischoff of the Swiss-Africa Business Circle, Miyoba Lubemba of the International Trade Centre and Vasiliki Mavroeidi of the OECD Development Centre. The session was moderated by Lukwesa Burak of African Business Magazine.
PAFTRAC brings together African private-sector leaders to advocate for stronger trade and investment policies and to facilitate engagement between businesses and policymakers.The organization supports initiatives aimed at expanding both intra-African and extra-African trade, investment and pan-African enterprise, with its work aligned with the broader objectives of Agenda 2063 and the vision of “The Africa We Want.”
The survey ultimately presents a mixed but potentially significant picture of Africa’s trade future: business confidence is rising, African markets are becoming increasingly attractive to African companies, but the financial and institutional systems required to turn that confidence into greater trade volumes remain unfinished.
Closing those gaps could determine how quickly the continent moves from the ambition of a single African market to a more integrated trading economy in practice.
