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The study aims to examine the key drivers and financing mechanisms of infrastructure development in Africa and their impact on trade facilitation and regional economic integration. It focuses on understanding the political, economic, and institutional factors shaping sustainable infrastructure growth and trade expansion across the continent. The African continent engages in relatively limited intra-continental trade, with intra-African trade consistently averaging between 12% and 15%. At a broader level, trade growth is widely regarded as a key driver of economic development, employment generation, and poverty reduction. However, the persistent low levels of trade among African countries coupled with high unemployment and widespread poverty have sparked discussions around the urgent need to strengthen both intra-regional and continental trade. In pursuit of regional integration, various regional economic communities were established, including the Southern African Development Community (SADC). Despite these efforts, concerns persist regarding weak economic infrastructure across several regions of the continent, including within the SADC bloc. Inadequate infrastructure has been identified as a major impediment to enhancing intra-African trade. Against this backdrop, the present study aims to empirically examine the relationship between economic infrastructure and intra-regional trade within the SADC region. The analysis employs panel data covering all 15 SADC member states, utilizing datasets from the SADC Secretariat and the World Bank. Applying the Generalized Method of Moments (GMM) estimation technique, the findings indicate a positive and statistically significant relationship between infrastructure development and intra-SADC exports.

Intra-SADC trade has not met the target that was set by the African Continental Trade Agreement (AfCFTA) of achieving 22% by the year 2022 due to a myriad of various trade-related challenges. This present study aims to compare the results of using a Poisson Maximum Likelihood Estimator (PPML) with Random Effects (RE), Fixed Effects (FE), and an Ordinary Least Squares (POLS) model on a balanced panel of select eight Southern African Development Community (SADC) members that trade with South Africa over the period 2010-2022. The paper empirically examines how South Africa’s overlapping Regional Economic Community (REC) membership affects bilateral trade. Also, the examination of how the impact of distance between South Africa and its trading partners impacts bilateral trade. The study findings are that PPML provides more robust results than other estimation techniques in estimating the gravity model for a balanced micro panel. From the PPML results, distance has a significant negative impact at a 5% level on bilateral exports from South Africa which implies that SADC countries that are relatively far in terms of distance from South Africa and landlocked tend to experience a relative fall in exports from South Africa.  However, multiple REC membership has a positive and significant impact of 1% level of significance on bilateral trade contrary to the negative relationship that was expected. The study recommends the speedy conclusion of outstanding AfCFTA issues for member states to effectively benefit from the economies that economic geography presents.