Kenya takes lead in Africa’s digital trade push under AfCFTA

Kenya is positioning itself as a regional hub for digital trade and payments under the African Continental Free Trade Area (AfCFTA), a role highlighted during the 2025 World Trade Organization (WTO) forum in Geneva.

Delegates noted that Africa’s digital economy is moving from policy frameworks to practical implementation, with Kenya at the forefront.

The country’s M-Pesa platform remains a continental benchmark for digital payments, while its early adoption of the Pan-African Payment and Settlement System (PAPSS) has made it a frontrunner in cross-border transactions.

By aligning data protection laws with African Union (AU) standards and actively participating in AfCFTA e-commerce talks, Kenya is carving out a strong role in shaping the continent’s digital markets.

Africa’s digital integration efforts are underpinned by key milestones, including the AU Digital Transformation Strategy (2020), the launch of PAPSS (2022), the AU Interoperability Framework for Digital ID (2023), and the AfCFTA Protocol on Digital Trade alongside the AU Data Policy Framework (2024).

A Digital Trade Annex under AfCFTA is expected in 2025, creating greater certainty for investors and businesses operating in Africa’s fast-growing digital economy.

For businesses, the shift promises new opportunities in logistics, fintech, and e-commerce as digital infrastructure reduces transaction costs and expands market access.

However, experts at the forum cautioned that Africa must align AU strategies with AfCFTA rules, safeguard digital sovereignty, and carefully design digital tax policies to avoid stifling growth.

Participants noted Kenya’s proactive stance positions to attract investment in fintech, logistics, and digital platforms while reinforcing its role as a gateway for regional e-commerce under AfCFTA.