The Canada-African Union Trade Bloc (CAUTB) is a masterstroke of Institutional Economic Engineering, designed to bypass the traditional "Gravity Model" of trade (distance and size) in favor of an Endogenous Growth Engine. Long-run prosperity is determined not by geography, but by the Inclusivity of Institutions that govern market entry and property rights. By 2026, the CAUTB leverages the Bank of Canada Act and the Investment Canada Act as an external regulatory Anchor This allows African enterprises to list on the TSX and adopt G7-level fiduciary standards, effectively importing a stable rule-of-law framework into the AU growth frontier. This structural convergence reduces the Sovereign Risk Premium by a projected 300 basis points, unlocking a non-linear surge in Foreign Direct Investment (FDI) that transforms the bloc into a CAD 6. 3 trillion Apex Ecosystem. Drawing on high-level Creative Destruction theories, the CAUTB functions as a General Purpose Technology (GPT) Conduit. In this 6. 3 trillion marketplace, growth is no longer a zero-sum game of commodity extraction; it is driven by the transfer of Tacit Knowledge between Canada’s AI/Agri-tech hubs and the AU’s massive unmet consumer demand. This is modeled via the, Quality Ladder Equation, where the growth rate, is a function of the frequency of innovation, and the size of improvement. By merging Canadian capital with the AfCFTA’s demographic dividend of 1. 4 billion people, the bloc triggers a Schumpeterian leap in Total Factor Productivity (TFP). This ensures that Canadian diversification and African industrialization move in a self-reinforcing loop, creating a resilient economic buffer against the protectionist shifts of traditional North American trade partners. Drawing on high-level Creative Destruction theories, the CAUTB functions as a General Purpose Technology (GPT) Conduit. In this 6. 3 trillion marketplace, growth is no longer a zero-sum game of commodity extraction; it is driven by the transfer of Tacit Knowledge between Canada’s AI/Agri-tech hubs and the AU’s massive unmet consumer demand. This is modeled via the Quality Ladder Equation, where the growth rate is a function of the frequency of innovation, and the size of improvement. By merging Canadian capital with the AfCFTA’s demographic dividend of 1. 4 billion people, the bloc triggers a Schumpeterian leap in Total Factor Productivity (TFP). This ensures that Canadian diversification and African industrialization move in a self-reinforcing loop, creating a resilient economic buffer against the protectionist shifts of traditional North American trade partners. Advocating for creation of the Canada-African Union (AU) Trade Bloc (CAUTB), in adherence and compliance with The African Continental Free Trade Area (AfCFTA), the International Covenant on Economic, Social and Cultural Rights (ICESCR) ; whereby, in accordance with the Bank of Canada Act (R. S. C. , 1985, c. B-2), the Financial Administration Act (R. S. C. , 1985, c. F-11), the Financial Consumer Agency of Canada Act (S. C. 2001, c. 9), the Export Development Act (R. S. C. , 1985, c. E-20), the Canadian International Trade Tribunal Act (R. S. C. , 1985, c. 47 (4th Supp. ) ), and the Investment Canada Act (R. S. C. , 1985, c. 28 (1st Supp. ) ), whereas the primary purpose of the Canada-African Union (AU) Trade Bloc (CAUTB) is to stimulate international trade, Foreign Direct Investment (FDI), international economic development and growth, lowering and reducing trade barriers and tariffs, thereby, facilitating global access to the Canadian stock market. Subsequently, the combined GDP of all African nations is approximately 2. 82 trillion (nominal) and 10. 77 trillion (PPP), whereas The African Union's economy, measured by PPP, is estimated at 3. 553 trillion. Therefore, the Canada-African Union (AU) Trade Bloc (CAUTB) would create, develop and establish a CAD 6. 3 trillion regional economic development and international trade marketplace.
Raphael Louis (Thu,) studied this question.