Ghana’s Vice-President, Dr Mahamudu Bawumia has actually advised the Member States of the West African Monetary Zone (WAMZ) to double their efforts towards fulfilling the macroeconomic merging requirements for a single currency by January 2027. The call follows failure by the Member States of WAMZ to satisfy all the 4 merging requirements for a financial union since June 2023. Vice President Bawumia made the call when attending to the 2023 Mid-Year Statutory Meeting of West Africa Monetary Agency (WAMA), the West Africa Institute for Financial and Economic Management (WAIFEM) and the West Africa Monetary Institute (WAMI) in Accra, on Friday. The conference focused on examining the macroeconomic advancement and merging reports from Member States of WAMZ and examine development made towards satisfying the main and secondary requirements needed for a single currency. It united financing ministers and guvs of the reserve banks of WAMZ member states, consisting of Ghana, Nigeria, Liberia, The Gambia and Sierra Leone. Vice President Bawumia stated the current geo-economic fragmentation internationally had actually made it essential for inclusive financial combination within the sub-region. “It is very important for the Member States of the WAMZ to take ownership of the merging program by mainstreaming it into the nationwide macroeconomic structures and carry out significant reforms to attaining the merging requirements on a continual basis, otherwise the vicious circle of limitless posts ponement will continue to haunt us,” Dr Bawumia mentioned. “We, for that reason, should double our efforts in guaranteeing macroeconomic merging and stability which are the required conditions for the liftoff of a financial union. “As we participate in advancement activities in our different nations, we need to not forget the truth that macroeconomic stability is essential for financial union to grow,” he included. The Vice President highlighted the requirement for a balance in between financial advancement and macroeconomic stability. He kept in mind that in spite of the challenging difficulties associated with fulfilling the requirements, there had actually been substantial turning points chalked towards the execution of the activities of the ECOWAS single currency roadmap for many years. “I comprehend that the name of the proposed single currency has actually been figured out and is called the eco. “A federal design structure has actually been embraced for the typical reserve bank, the name of the typical reserve bank has actually been identified as the Central Bank of West Africa, a versatile currency exchange rate routine embraced, and inflation targeting structure picked,” he included. He observed that, more than 50 percent of the activities of the roadmap were exceptional, consisting of analytical harmonisation, macroeconomic merging, capital account liberalisation, amongst others. He admired the African Development Bank’s financial backing worth US$ 9 million to WAMI towards the preparation of Unique Bank Identity (UBI) Project. The job was planned to guarantee bank client recognition and protected digital banking deals. Design legal instruments have actually been prepared for adoption by the member mentions to fulfill the regulative requirements of the emerging monetary technological developments, in a worldwide adjoined monetary environment. The Vice-President stated considerable strides had actually likewise been made in financial obligation and capital market combination along with insurance coverage combination in the WAMZ. Federal government of Ghana, he stated, was devoted to bring back macroeconomic stability that formed the basis of sustainable financial development and advancement. “We are leaving no stone unturned under our Post Covid-19 Programme for Economic Growth (PC-PEG) focused on bring back macroeconomic stability and financial obligation sustainability, developing strength through the execution of comprehensive and strong structural reforms programs and laying the structure for more powerful, more inclusive development, while likewise safeguarding the bad and the susceptible”. Over the medium term, he highlighted federal government’s willpower to strive to revitalize the economy and enhance on its efficiency on the merging requirements. Vice President Bawumia, for that reason, applauded the efforts of WAMI and all the stakeholders in guaranteeing that the single-currency task stayed a top priority and on course. Ghana’s financing minister, Mr Ken Ofori-Atta was selected as the Chair of Convergence Council of Ministers and Governors of the Central Banks of the West African Monetary Zone. DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not always represent the views or policy of Multimedia Group Limited.
Let’s double our efforts towards single currency by 2027– Bawumia to WAMZ Member States
