Onasami: ECO framework to address local currencies’ volatility concerns
The Lead Partner at Cardinal Professional Services, Emmanuel Onasami believes the implementation framework of the ECOWAS single currency, ECO will address lingering issues of local currencies’ volatility. Speaking on the break away of Niger, Burkina Faso and Mali from the regional bloc, he highlights the 2027 implementation timeline provides ample time to align all interests for a successful rollout.
Thu, 11 Jul 2024 12:13:52 GMT
Disclaimer: The following content is generated automatically by a GPT AI and may not be accurate. To verify the details, please watch the video
AI Generated Summary
- The ECOWAS ECO framework aims to align participating economies with specific criteria to address inflation rates, debt-to-GDP ratio, and other fundamental factors.
- The 2027 implementation timeline of the ECO provides sufficient time to rally countries back to the regional bloc and align interests for a successful rollout.
- The ECO presents an opportunity for increased investor confidence and stability in the region's currency, fostering economic growth and development in West Africa.
The Lead Partner at Cardinal Professional Services, Emmanuel Onasami, believes that the implementation framework of the ECOWAS single currency, ECO, will address lingering issues of local currencies’ volatility. Despite concerns over the recent break away of Niger, Burkina Faso, and Mali from the regional bloc, Onasami highlights that the 2027 implementation timeline provides ample time to align all interests for a successful rollout. The ECO framework aims to ensure that participating economies meet specific criteria concerning inflation rates, debt-to-GDP ratio, and other fundamental factors to build investor confidence and stability in the region's currency. Onasami emphasizes that regional integration and unification of currency are crucial steps towards fostering economic growth and development in West Africa. As the continent moves towards greater economic cooperation with initiatives like the African Continental Free Trade Area and the Pan-African Payment and Settlement System, the ECO presents an opportunity for a larger market and increased investment reliability.
