Discussion Papers

No.661 Current Issues on the African Growth and Opportunity Act (AGOA)

by Akiko YANAI

March 2017


The African Growth and Opportunity Act (AGOA) has successfully supported for the sub-Saharan countries to achieve trade-led economic development on one hand, it has been criticized for the limited method for selecting beneficiaries and its legal instability. After the AGOA was renewed for another ten years in 2015, African countries are facing the new challenges such as AGOA reciprocation and the out-of-cycle eligibility review. Based on the active discussions in the AGOA Forum in 2015 and 2016, this paper examines the future potential structures that are most appropriate for U.S.–African trade and investment relationship.

Keywords: AGOA, preferential trade arrangement, trade policy, sub-Sahara Africa
JEL classification: F13, O24, O55

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