Abstract

The African Union Commission (AUC) formulated the Pan African Investment Code (PAIC) to serve as a guide and roadmap towards the unification of the investment regulatory regimes in Africa. In the formative stage of the investment protocol to the African Continental Free Trade Agreement (AfCFTA), there were indications from some quarters that suggested the possibility of modelling the AfCFTA investment protocol on the PAIC. However, on 19 February 2023, the AfCFTA investment protocol was adopted by the African Union of Heads of States with no explicit statements as to the guiding framework of the protocol. The purpose of this analysis is to critically examine the influence of the PAIC on the formulation of the AfCFTA by scrutinising the interplay between the texts. Although a non-operative document, the PAIC was designed with the objective of fostering cross-border investments within Africa, standing as a pivotal model instrument to enable regional economic development in Africa. Understanding the degree of influence that the PAIC has on the AfCFTA is critical in this analysis. The reason is that this critical integration provides a useful framework for assessing the efficacy of regional economic integration in Africa. Also, evaluating the interplay between both documents provides insights into how the harmonisation of the fragmented investment landscape in Africa can be actualised. Furthermore, insights from this analysis are beneficial to stakeholders, policymakers, and scholars, informing their strategic decisions and policy adjustments to enhance the success and effectiveness of the PAIC and the AfCFTA investment protocol towards economic cooperation and development.

This paper will be part of the third TDM Special Issue on "The African Continental Free Trade Agreement (AfCFTA)". More information here www.transnational-dispute-management.com/news.asp?key=1809