Trade retaliation Africa’s attempt to protect infant industries may provoke retaliations from trading partners that could further shrink the market for Africa’s exports. Subsidies and fiscal incentives for domestic producers may induce tariff changes that could limit trade with other countries. Trade retaliation is no doubt a major threat to the new development strategy for Africa.
Violent conflicts The prevalence of conflicts and social instabilities are among the major problems turning African countries into fragile states. The continent has the high concentration of the world’s poorest people with little or no social safety nets. Civil unrests, inter-religious and ethnic conflicts are prevalent in most of the countries.