After failing to meet the expected roll out date in 2020, the much-anticipated single currency for the Economic Community of West African States (ECOWAS) is to be launched in six years’ time, 2027.
The President of the ECOWAS Commission, Dr Jean-Claude Kassi Brou told journalists at the end of the 59th Ordinary Session in Accra that a new road map has been adopted to launch the single currency in 2027.
According to him, the new road map was agreed by the heads of state of ECOWAS at the closed-door session of the summit held in Accra on Saturday.
He blamed the inability to launch the currency in 2020 on the devastating effects of coronavirus, which has affected economies of the world, including Africa.
“Due to the shock of the pandemic, the heads of state had decided to suspend the implementation of the convergence pact in 2020-2021,” Dr Brou said.
He continued: “We have a new road map and a new convergence pact that will cover the period between 2022 and 2026, with 2027 being the launch of the Eco.”
Dr Brou said the Heads of State had asked the ministerial committee to look at the new roadmap and the convergence pact, considering the lessons from the Covid-19 pandemic.
In a related development, as far as the pandemic is concerned, Dr Jean-Claude said in his speech at the opening ceremony of the summit that, following a 1% decline in 2020 the region should return to positive economic growth in 2021.
According to him, it has been projected at 3.4%, the same level as the pre-COVID period, but he opined this growth is still unsatisfactory and will remain below the average for the continent.
“We must, therefore, continue to increase public and private investment in infrastructure and human capital.
“To this end, the concrete implementation of the conclusions of the Paris Summit on the Financing of African Economies as well as the G20 Initiative on debt treatment beyond the debt service suspension is urgently required”.
Earlier in his open address, President Akufo-Addo said the new roadmap on the single currency called for work to be done to achieve strong economic growth, based on the construction of resilient economies.
He urged the region to continue to focus on the implementation of programmes and projects, in all areas of national life, to ensure job creation and the well-being of our peoples.
This, he noted, requires that regional integration is strengthened by pursuing the free movement of goods and people, and the development of economic infrastructure and human capital bases.
“In this regard, the entry into force of the African Continental Free Trade Area (AfCFTA), on 1st January 2021, offers us a historic opportunity to enhance our levels of intra-regional trade, and inspire the momentum for rapid economic growth. We have to rise to the occasion, and change our destiny,” he remarked.
He indicated that the recent decision of the G7 to provide more vaccines to developing countries is commendable, just as is its decision on the taxation of multinational companies.
He described it as a first step towards addressing the illicit flow of funds, in which these multi-national companies play a major part and which leads to the huge exodus of resources from our continent.
“There is still more to be done,” he observed.
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