"The plan for West Africa's new ECO currency was already adopted back in June 2019 to facilitate trade and economic integration across the region and serve as a unifying medium of exchange. However, plans to introduce the ECO in the very next year ran into significant hurdles during these early development stages, including economic disparities between members, fiscal challenges, political disagreements, government overthrows amid broader regional instability, not to mention the COVID-19 pandemic."
"The biggest issues, however, are challenges to and questions over the integrity of the Economic Community of West African States (ECOWAS) itself after Burkina Faso, Mali, and Niger quit the bloc in January 2024 chiefly in response to the sanctions imposed on them by ECOWAS following a series of military coups in those nation. Ghanaian economist Tsonam Akpeloo told DW that these fundamental differences held back the roll-out of the ECO."
West Africa adopted a plan in June 2019 to introduce the ECO currency to facilitate trade, economic integration, and serve as a unifying medium of exchange. Plans to launch the ECO the following year stalled amid economic disparities among member states, fiscal challenges, political disagreements, and government overthrows linked to regional instability. The COVID-19 pandemic further delayed implementation. Questions over the integrity of the Economic Community of West African States (ECOWAS) intensified after Burkina Faso, Mali, and Niger withdrew from the bloc in January 2024 chiefly in response to sanctions following a series of military coups. A common currency would require a common central bank, shared monetary policy, and political alignment. Nigeria and Ghana have faced double-digit inflation and rising public debt, yet remain potential lead countries for an initial ECO rollout alongside Gambia and possibly Ivory Coast.
Read at www.dw.com
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