Nigeria has finally signed to join the African Continental Free Trade Area (AFCTFA), an agreement which aims to increase trade between African countries.

President Muhammadu Buhari signed the landmark agreement at the African Union (AU) summit in Niger. This leaves Eritrea as the only African country who has not joined the trading bloc.

According to the Eritrean Commissioner for Trade and Industry at  the AU Commission, Albert Muchanga, the country did not take part in the negotiations because of their conflict with neighbouring Ethiopia.

The first step of the agreement is to cut tariffs for goods from countries within the bloc but the time frame to do this is yet to be announced.

Currently, African countries trade only about 16 percent of their goods and services among one another, compared to the 65 percent with European countries.

The AU estimates that implementing the AfCFTA will lead to a 60 percent boost in intra-African trade by 2022, thereby creating the world’s largest free trade area

AfCFTA hit a hurdle last year when Nigeria pulled out days before the country was due to sign the agreement. Nigeria is Africa’s biggest economy and has long been a regional leader.

President Buhari had said he needed further consultations with organized labour and other groups in Nigeria. Since then, the Nigerian Office for Trade Negotiation says it has consulted with 27 groups, including trade unions.

With Nigeria signing up, AfCFTA’s dream of increasing intra-Africa trade, which currently lags behind the volume of trade the continent does with Europe is now one step closer.