Top 10 Trends Shaping Africa’s Cross-Border Trade: May 2025 Edition

As African markets push toward deeper integration and digital transformation, the landscape of cross-border trade continues to evolve rapidly. From rising intra-continental commerce to surges in remittances and infrastructure investments, the trends below highlight what’s moving the needle in Africa’s economic story this month.

Here are the 10 most impactful developments we’ve tracked across the African cross-border trade ecosystem:

1. AfCFTA Participation Reaches New Heights

The African Continental Free Trade Area (AfCFTA) is gaining real momentum. As of May 2025, 31 countries have begun trading under AfCFTA protocols -up from just 7 in 2023. This acceleration is a crucial step toward increasing intra-African trade, which currently represents only about 18% of total trade on the continent, compared to 59% in Asia and 68% in Europe.

2. Kenya Tops East Africa in Diaspora Remittances

Kenya received a record $4.8 billion in diaspora remittances in 2024, the highest in East Africa. This surpasses Somalia’s $1.73 billion and Uganda’s $1.49 billion. Remittances have become a cornerstone of economic stability for many households and a reliable source of foreign exchange for national economies.

3. Nigeria Remittances Expected to Hit $26 Billion in 2025

Remittances to Nigeria are projected to rise from $20 billion in 2023 to an estimated $26 billion in 2025. This uptick is being driven by increased emigration and better remittance infrastructure, making it easier and faster for Nigerians abroad to send money home.

4. Ivory Coast Raises Cashew Output Despite Export Pressure

Ivory Coast has adjusted its cashew production forecast upward to 1.3 million metric tons this year (up from 1.15 million), thanks in part to anti-smuggling measures. However, falling global prices and potential U.S. tariffs- up to 21%- are threatening export profitability, with farmgate prices dropping from 425 CFA francs ($0.73) to just 200 CFA francs ($0.35) per kilogram.

5. Nigeria’s OmniRetail Expands Across West Africa

Nigerian B2B e-commerce giant OmniRetail is scaling up its presence in Ghana and Côte d’Ivoire. The company’s platforms- Mplify and Omnibiz- are helping over 200 manufacturers, 5,000 distributors, and 140,000 retailers streamline supply chains. This is a major push toward digitizing FMCG distribution across West Africa.

6. South Africa Injects $1 Billion into Logistics Overhaul

Transnet, South Africa’s state-owned logistics operator, has secured a $1 billion loan from the African Development Bank. The funding kickstarts a broader $8.1 billion plan to fix rail and port infrastructure- essential arteries for domestic and regional trade that have been hampered by inefficiencies and backlogs.

7. Djibouti’s Sovereign Wealth Fund Doubles Down on Trade Infrastructure

Djibouti is setting its sights on doubling its sovereign wealth fund’s assets, currently valued at over $1 billion. Investments are focused on logistics, renewable energy, and data centers, reinforcing the country’s role as a maritime and digital gateway into Africa.

8. U.S.-Backed Lobito Corridor to Transform Mineral Exports

The $10 billion Lobito Corridor- funded by the U.S. and its allies- aims to link mining zones in the Democratic Republic of Congo and Zambia to Angola’s Atlantic port. This railway project is expected to dramatically shorten export times for critical minerals essential to global clean energy supply chains.

9. African Fashion E-commerce Goes Global

E-commerce platforms like Industrie Africa and Afrikrea are opening global doors for African fashion designers. These platforms are addressing long-standing challenges in payment processing and logistics, enabling designers to participate in international markets with confidence and efficiency.

10. Digital Wallets Gain Ground in Francophone Africa

CFA-backed digital wallets are seeing increased adoption across Francophone West and Central Africa. These tools are making regional trade more seamless, reducing the need for cash and improving financial inclusion for small and medium-sized businesses engaged in cross-border commerce.

Final Thoughts

Africa’s trade dynamics are shifting- driven by a potent mix of policy, technology, infrastructure, and grassroots entrepreneurship. At TranzyPay, we’re excited to be part of this transformation, making cross-border transactions faster, fairer, and more transparent for businesses across the continent.

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