The establishment of a Pan-African Parliament was one of the main decisions of the Treaty of Abuja signed by African leaders in the Nigerian capital in 1991. The Treaty of Abuja came into force in 1994. In 1999, the Sirte Declaration called for the speedy establishment of the institutions [including the Pan African Parliament] provided for in the Treaty.  The Draft Constitutive Act of the African Union and the Parliament was approved and adopted at the 36th Ordinary Session of the Assembly of Heads of State and Government of the Organisation of African Unity (OAU) which convened in Lome, Togo from 10th to 12th July, 2000.

The Pan-African Parliament held its inaugural session in March 2004. At present it exercises oversight and has advisory and consultative powers which will last for the first five years of its existence, after that time period it will exercise full legislative powers. Its 265 Parliamentary representatives are elected by the legislatures of the 53 AU states rather than being directly elected in their own capacity. Initially, the seat of the Pan African Parliament was in Addis Ababa, Ethiopia but it was later moved to Midrand, South Africa.