Icann, the body that establishes these addresses known as generic Top-Level Domains, approved the move, after lobbying by the AU.
The campaign was spearheaded by a South African company ZA Central Registry (ZACR), which will now be responsible for registering .africa names.
ZACR’s boss Lucky Masilela said that .africa addresses could cost as little as $18 (£15), AFP news agency quotes him as saying, and registration will start in July.
Other domain names recently created by Icann, include .fun, .phone and .hair.