ECOWAS central banks govs’ in Accra to validate new study on single currency
As part of fresh drive ahead of successful takeoff of single currency in 2020 for the West African region, representatives of eight central banks in West Africa, officials of finance ministries, the West Africa Monetary Initiative (WAMI), Economic Commission for Africa and ECOWAS Commission officials have begun a meeting in Accra to validate a new study on the single currency initiative.
Already, the Commissioner for Macroeconomic Policy and Economic Research at the ECOWAS Secretariat, Dr Kofi Konadu Apraku had told a high-level technical working group on the ECOWAS Single Currency meeting in Accra that everything is being done to avoid another postponement.
The WAMI was established in 2001 to undertake technical preparations and monitoring of quantitative convergence criteria for a common West African Central Bank.
Besides, convergence criteria were set for member States to comply with for the single currency to be implemented and these were known as the Four Primary Convergence Criteria and the Six Secondary Convergence Criteria of quantitative and qualitative benchmarks. However, the domestication and compliance of the criteria has not been simultaneous or on a sustainable basis in member States, according to information on the website of ECOWAS.
However, the initial date for the launch of the single currency was January, 2003, but it has been postponed several times because member States have failed to meet the set macroeconomic convergence criteria.
Business Hilights gathered Tuesday that the two-day meeting will review the final Study Report of the United Nations Economic Commission for Africa (UNECA) on the ECOWAS Single Currency programme.
Key part of the meeting is to assess and evaluate progress made by ECOWAS member countries in meeting the convergence criteria for the single currency.
Earlier in his opening remarks, Dr. Apraku, a former Regional Integration Minister for Ghana said the single currency project is critical in attempts at fully integrating the sub region.
“Though the project had been on the drawing board for almost three decades, there is renewed interest and enhanced political will by the current ECOWAS leadership to ensure the new 2020 deadline is met.
“This profound interest has led to the establishment of the Presidential Task Force to oversee the accelerated implementation of the monetary integration programme and to ensure the realisation of the single currency by 2020,” he said.
He added that the ongoing Accra technical working group meeting is critically aimed at quickening the process towards achieving monetary integration.
Analysts aver that the new vigour to drive the common currency initiative stemmed from the consciousness to deliver remaining components of ECOWAS, established in 1975.
The regional block was originally structured to boost trade among West Africans.
