← Return to Dashboard AfCFTA — Regional Trade Corridor Diagnostic
AfCFTA Constraint Diagnostics  ·  Phase 2
Regional Trade Corridor Diagnostic Framework
A gravity model analysis of bilateral trade between all 54 African countries, identifying where trade falls short of structural potential, what kind of constraint is most likely binding, and which policy objective each corridor serves.
CEPII BACI V202601 54 African countries Gravity model · 2015–2019 estimation 2,862 bilateral corridors World Bank LPI 2022
Gateway Efficiency
50
Active corridors where efficiency
improvements unlock immediate gains
Estimated gap  $21.8B  ·  Customs and port reform
Trade Bottleneck
27
High-potential corridors constrained
by border friction and policy barriers
Estimated gap  $5.0B  ·  Border administration reform
Inclusion Corridors
44
Landlocked and structurally excluded
economies — development mandate
Estimated gap  $3.2B  ·  Access infrastructure
Intra-Africa Trade 2022
$110B
Total bilateral goods trade
BACI mirror-reconciled estimate
Analytical baseline for corridor residuals

Bilateral trade corridors classified by structural trade potential, intervention tractability, and development objective. Each point represents one corridor. Point size indicates the estimated trade gap. Only corridors meeting the three-product classification criteria are shown.

The horizontal axis measures economic scale — the log of the gravity model's prediction of how much two countries should trade, normalised across all corridors. The vertical axis measures tractability — how amenable the identified barrier is to policy intervention. Tractability is higher for logistics and policy barriers than for political or structural constraints.

Gateway Efficiency corridors are active trade corridors with at least one coastal endpoint where efficiency improvements unlock large immediate gains.

Trade Bottleneck corridors have high predicted potential but low realisation due to logistics or policy barriers amenable to targeted intervention.

Inclusion Corridors connect landlocked and structurally excluded economies. The objective is development connectivity, not trade volume maximisation.

Corridors that do not qualify for any of the three categories are not shown. They are retained in the underlying dataset but are not presented as diagnostic targets.

Top 50 active trade corridors where efficiency improvements unlock immediate gains. At least one endpoint has sea access in every Gateway corridor. Dark bars show observed trade; light extensions show remaining gap.

These corridors are already trading at meaningful scale. The dark bar shows observed bilateral trade (BACI 2022). The light extension shows the remaining gap to the model's structural prediction. The instrument here is efficiency — not access infrastructure.

Algeria–Egypt and Egypt–Tunisia are the North African frontier: active trade relationships where customs friction and documentary requirements prevent fuller realisation. Ghana–Nigeria is West Africa's most commercially significant corridor — both countries have functioning ports, complementary economic structures, and existing trade relationships. The Seme–Krake border crossing is the identified friction point.

Corridors where the model predicts substantially more trade than is observed. Light bars show the structural prediction; dark bars show observed trade. The gap is not explained by geography or economic incompatibility.

The gravity model estimates a structural level of trade based on patterns observed across 2,862 African bilateral pairs from 2015 to 2019. When observed trade is far below this prediction, and when the barrier is identified as logistics or policy rather than political conflict, the corridor enters this category.

Nigeria appears as the underperforming partner across more corridors than any other country in this analysis. Guinea–Nigeria, Angola–Nigeria, DR Congo–Nigeria, Ethiopia–Nigeria — in each case the model predicts significant bilateral trade that is not occurring. This convergence across independent bilateral pairs suggests the constraint is specific to Nigeria's border administration rather than to any individual corridor. The intervention is customs reform, not roads.

Corridors connecting landlocked and structurally excluded economies, ranked by inclusion score — a composite of landlocked access deprivation, network isolation, economic vulnerability, and trade concentration.

The inclusion score combines four components: landlocked status (40% weight), network isolation (25% — how few trade relationships each country maintains relative to its economic size), economic vulnerability (20% — inverse of GDP per capita), and trade concentration (15% — Herfindahl index of partner concentration).

These corridors should not be evaluated on the same criteria as Gateway or Bottleneck corridors. The appropriate metric is development connectivity — how many people gain access to regional markets — not bilateral trade value. Niger–Chad and Burundi–Rwanda score highest because both endpoints are landlocked and both countries maintain very few existing trade relationships. They require physical access infrastructure, not customs reform.

Several inclusion corridors span multiple sovereign borders. They are analytically valid as bilateral pairs but operationally correspond to named multimodal transport routes. Phase 3 will map them onto physical corridors.

Total bilateral goods trade between African countries 2000–2024. Source: CEPII BACI V202601.

Standard bilateral reporting significantly undercounts intra-African trade because many African countries do not consistently report their bilateral flows. BACI resolves this by reconciling both sides of every bilateral relationship. The result is approximately three times more recorded trade than standard IMF data — not because trade increased, but because the measurement is more complete.

Trade grew from approximately $20 billion in 2000 to $114 billion in 2023. The agreement establishing AfCFTA officially entered into force on May 30, 2019. The 2020 dip reflects COVID-19. Trade recovered in 2021, though attributing this recovery to AfCFTA specifically requires caution given the simultaneous global trade rebound.

Each point is one bilateral trade corridor. The diagonal line shows where a corridor would sit if it traded exactly as much as the model predicts. Points below the line trade less than expected.

The diagonal line represents full realisation — corridors on this line trade exactly as much as the model predicts. Corridors above the line are overperforming: South Africa–Mozambique and South Africa–Botswana sit above because SADC integration is working and trade exceeds structural predictions.

Corridors far below the line are the diagnostic targets. The colour indicates the probable constraint type: rust for logistics barriers, red for political or institutional barriers, navy for policy or information gaps.

The model was estimated on 2015–2019 data across 2,862 African bilateral pairs. It controls for GDP, distance, shared borders, common language, colonial ties, FTA membership, and landlocked status. Predictions for 2024 apply the estimated structural relationships to current GDP with bilateral characteristics treated as stable.

Average number of bilateral trade relationships above $10 million annually, 2021–2024. Dark bars: African partners. Light bars: non-African partners.

Several of Africa's largest economies by population and GDP maintain more trade relationships with non-African partners than with other African countries. Ethiopia — 126 million people — averaged six intra-African relationships against thirty-four outside Africa. Nigeria averaged roughly three times as many non-African as African relationships.

This asymmetry reflects the historical structure of African trade: economies oriented toward commodity exports to Europe and Asia, with comparatively weak intra-regional exchange. The pattern holds consistently across all four years (2021–2024), confirming it is structural rather than cyclical.

World Bank Logistics Performance Index scores for African countries. Scale of 1 (poor) to 5 (excellent). Sorted by overall score.

The LPI measures customs procedures, infrastructure quality, logistics competence, and international shipment ease. Customs is the most directly actionable dimension — it is a software and institutional reform, not a capital infrastructure investment.

South Africa scores 3.7 overall — the continental benchmark. Angola and Cameroon, which appear repeatedly in the Trade Bottleneck corridors, score 2.1 on overall logistics. The correlation between low customs scores and high bottleneck frequency is the empirical basis for the customs modernisation recommendation in this analysis.

What Trade Should Be Happening in Africa?

African countries trade with each other far less than their economic size and geography suggest they could. This analysis asks a precise question: if two African countries faced no avoidable barriers — only geography, economic size, and structural realities — how much trade would we expect between them? We then compare that expected level with what is actually observed. The difference is the trade opportunity.

Expected trade
$1.20B
Observed trade
$0.45B
Unrealised opportunity
$0.75B

Illustrative example. Hover over charts for actual corridor figures.

How the Model Estimates Trade Potential

For every pair of African countries, the model evaluates six structural drivers of trade — characteristics that shape how much two economies are likely to exchange regardless of policy choices. The model learns the strength of each driver from five years of African trade data (2015–2019), a period before COVID-19 and supply-chain disruption introduced temporary distortions.

Economic Size
The GDP of both countries. Larger economies generate and absorb more trade. A country the size of Nigeria will trade more in absolute terms than one the size of Burundi — the model accounts for this.
Distance
The physical distance between capital cities. Distance increases transport costs and reduces trade. Two neighbouring countries are expected to trade substantially more than two countries on opposite ends of the continent.
Shared Border
Whether the two countries share a land border. Neighbouring countries typically trade approximately three times more than comparable non-neighbours — cross-border commerce and lower logistics costs both contribute.
Common Language
Whether both countries share an official language. Shared language reduces communication costs for firms, simplifies contracts, and builds institutional familiarity that facilitates trade relationships.
Colonial History
Whether both countries shared the same colonial power. This shapes legal systems, administrative practices, and long-standing institutional linkages that continue to influence trade patterns.
Trade Agreements
Whether both countries are AfCFTA State Parties and members of the same or different regional economic communities. Countries with formal trade agreements trade approximately three times more than comparable pairs without one.

From Historical Data to a 2024 Estimate

1
Historical trade data (2015–2019)
Actual bilateral trade flows between all African country pairs, drawn from the CEPII BACI database — a mirror-reconciled dataset that captures trade even when one country does not report it.
2
Model estimation
A statistical model learns how the six structural drivers above shape trade across 2,862 African bilateral pairs. It finds, for example, that a shared border multiplies expected trade by a factor of approximately 2.7.
3
2024 GDP applied
The estimated relationships are applied to current (2024) economic data. This generates a prediction of what each bilateral corridor should be trading given today's economic conditions.
4
Observed trade compared
BACI 2022 bilateral flows are compared against the prediction. Corridors trading substantially below prediction, where barriers are identifiable and addressable, enter the diagnostic framework.
Example: Ghana — Nigeria
Combined GDP$438B
Distance~450 km
Shared borderYes
Trade agreementECOWAS + AfCFTA
Model estimate$0.87B
Observed trade$0.35B
Realisation40%
Estimated gap$0.52B

Not Every Trade Gap Needs the Same Solution

The analysis classifies corridors into three categories, each corresponding to a different type of barrier and a different intervention instrument.

Gateway Efficiency Corridors

Trade is already happening. The opportunity comes from making border processes faster, simpler, and more predictable. These corridors have at least one coastal country and active trade relationships. The instrument is efficiency, not access.

Examples: Algeria — Egypt  ·  Ghana — Nigeria
Customs digitisation · Port modernisation · Single-window systems
Trade Bottleneck Corridors

The model predicts strong trade potential, but very little trade is occurring. These corridors are not structurally incompatible — something specific is blocking them. The barrier is typically border administration or policy misalignment rather than missing roads.

Examples: Cameroon — Nigeria  ·  Angola — Tanzania
Border post reform · Customs modernisation · Policy coordination
Regional Inclusion Corridors

These corridors connect landlocked and structurally isolated economies. The objective here is not trade value alone — it is access, resilience, and economic inclusion for populations with limited alternatives. These corridors correspond to concessional finance.

Examples: Niger — Chad  ·  Burundi — Rwanda
Feeder roads · Border infrastructure · Rural trade logistics

Three Corridors That Illustrate the Diagnostic

Africa's largest economy — $363 billion GDP, 223 million people — maintains meaningful trade with fewer than 20 African partners. The model predicts large bilateral flows between Nigeria and its neighbours; actual trade is a fraction of that. Nigeria is not disconnected from the world: it trades meaningfully with 49 non-African partners. It is specifically disconnected within Africa. The analysis points to border administration — not road infrastructure — as the binding constraint, suggesting customs reform as the highest-return intervention for the West African trade network.

Algeria and Morocco share a 1,559-kilometre land border, a common language, a common colonial history, and combined GDP approaching $400 billion. The model predicts they should be among Africa's most active bilateral traders. Observed trade is approximately $250 million — around 12 percent of the model's prediction. The border has been closed since 1994 following a political dispute. This single decision represents the largest bilateral trade gap in North Africa, and cannot be addressed through trade facilitation instruments alone.

South Africa trades meaningfully with 42 African partners — the highest intra-African connectivity on the continent — and several of its SADC corridors (Botswana, Mozambique, Namibia) trade above the model's prediction. These are the only corridors in this analysis where observed trade consistently exceeds structural expectations. South Africa's SADC corridors function as the benchmark — demonstrating that the barriers identified elsewhere are not inherent features of intra-African trade but outcomes of specific, addressable institutional conditions.

What This Analysis Does Not Do

This analysis identifies where structural trade opportunities exist, what kind of constraint is most likely binding, and which policy objective each corridor serves. It does not assume every gap should be closed, does not replace feasibility studies or engineering assessments, and does not model physical infrastructure costs or returns.

Barrier classifications — logistics, political, policy — are probabilistic inferences from observable data, not direct observations of the underlying mechanism. Investment decisions based on this analysis should be accompanied by corridor-level operational assessments. Phase 3 will map identified corridors onto named physical transport routes.

CEPII BACI V202601
Bilateral goods trade, 1995–2024, mirror-reconciled. Gaulier and Zignago (2010).
CEPII Gravity V202211
Bilateral structural variables — distance, borders, language, colonial ties, GDP, trade agreements. Conte, Cotterlaz and Mayer (2022).
World Bank LPI 2022
Logistics Performance Index — customs, infrastructure, competence, and shipment scores.
African Union / tralac
AfCFTA ratification status, February 2026. 48 countries have deposited instruments of ratification.