The Effectiveness of the World Trade Organisation Dispute Settlement System for Developing Countries in Africa-Lessons for the African Continental Free Trade Area

Abstract

This study is on the dispute settlement mechanisms in the trade regime of the World Trade Organization (WTO) and the African Continental Free Trade Area (AFCFTA). It aims at analyzing whether the dispute settlement mechanism is an effective form of dispute settlement for African Countries. The main problem the study scrutinizes is the underutilization of the World Trade Organization dispute settlement system by African Countries, and whether a similar effect would persist within the African Continental Free Trade Area, that adopts a replica of the WTO dispute settlement mechanism. The study highlights the significance of settling trade disputes through a rule based system that offers predictability and security to investors in trade. In its conclusion the study affirms the hypothesis that the AFCFTA’s dispute settlement mechanism will similarly remain underutilized by African countries for trade disputes. Finally, it recommends measures that African countries may consider to make the AFCFTA’s dispute settlement mechanism more effective than the WTO dispute settlement system has been for them.