Ghanaian Vice President Mahamudu Bawumiaon on Friday urged West African countries to work hard towards achieving macroeconomic stability to help realise the long-standing dream of a common currency for the subregion.
Bawumia said the vision of monetary integration for the Economic Community of West African States (ECOWAS) is even more relevant now as many economic blocs are being formed around the world in response to the challenges in the global economy.
The vice president said these in his keynote address during the opening of the 50th Meeting of the Convergence Council of Ministers and Governors of central banks of the member states of the West Africa Monetary Zone (WAMZ) in the Ghanaian capital.
“The long-standing dream of the West African single currency project mooted a couple of decades ago is as relevant today as when it was first conceived,” Bawumia said.
He added that the recent geoeconomic fragmentation underpins the urgent need for inclusive monetary integration, which needs stronger policy commitments to achieve.
“We must, therefore, double our efforts in ensuring macroeconomic convergence and stability which are the necessary conditions for the take-off of a monetary union,” he urged.
He called for a balance between investments in development activities and macroeconomic stability by ECOWAS member states as the 2027 deadline for the establishment of the monetary union and the introduction of the common Eco currency fast approaches.
The vice president reiterated Ghana’s commitment to the subregional dream for which he said the country was doing everything necessary to restore macroeconomic stability as the basis for sustainable economic growth and development.
“Over the medium term, we shall continue to work hard to revive the economy and improve our performance on the convergence criteria,” Bawumia pledged.
In June 2021, the leaders of ECOWAS extended the deadline for the launch of the subregional common currency to 2027, requiring all member states to comply with the convergence criteria by 2026. But most ECOWAS member states face serious macroeconomic challenges due to the impact of the COVID-19 pandemic, the Russia-Ukraine war and in some specific cases, ballooning public debts due to economic mismanagement.