By: Nyima Sillah
The Africa Tax Administration Forum (ATAF) has capitalized on the recently concluded Economic Commission for Africa(ECA) ministerial conference as an extremely vital advocacy platform for tax reforms to accelerate the Africa Continental Free Trade Area (AfCFTA).
The 57th session of the Conference of African Ministries of Finance, Planning, and Economic Development, which took place in Addis Ababa, Ethiopia from 12-18 March, brought together cabinet ministers, policymakers, and technical experts to discuss strategies for strengthening regional integration and unlocking the full potential of intra-African trade.
The conference reinforced the urgency of transformative actions to drive the implementation of the African Continental Free Trade Area, and the critical role of tax and customs policies in ensuring that AfCFTA delivers on its promise of economic transformation.
During the conference, ATAF emphasized the importance of harmonized tax systems and advocated for revenue-generation mechanisms that would sustain government finances while fostering trade liberalization.
One of the pressing concerns raised at the conference was the financial impact of reducing tariffs under AfCFTA.
“Many African governments rely heavily on trade taxes for revenue, making it necessary to explore alternative sources of income,” ATAF said.
The ATAF also emphasized the need to improve tax administration and coordination to assist countries navigate the evolving trade landscape, reiterating advocacy for tax policy reforms that would maintain fiscal stability, promote trade facilitation, and optimize domestic taxation to support revenue mobilization in enhancing digital tax solutions and strengthening indirect tax measures to ensure sustainable government financing.
Furthermore, ATAF championed the adoption of enhanced domestic revenue mobilization strategies, stressing the importance of strengthening tax administration, broadening tax bases, and harnessing digital solutions to improve tax collection efficiency, reaffirming its commitment working closely with its partners towards shaping effective tax and trade policies that support AfCFTA implementation and foster sustainable economic growth across Africa.
The organization used the platform to reinforce its partnership with key continental institutions, including the United Nations Economic Commission for Africa (UNECA), the African Union (AU), the African Development Bank (AfDB), and Afreximbank.
