President Muhamadu Buhari has cautioned member countries of the Economic Community of West African States (ECOWAS) to tread carefully in pushing for a single currency in the sub-region.
Speaking on Tuesday in Niamey, Republic of Niger, Buhari said the necessary economic fundamentals among countries continue to differ over the years, making it more difficult to pull through with the project by 2020.
President’s spokesman, Femi Adesina in a statement on Tuesday said Buhari during the meeting advised ECOWAS community to take into consideration lessons currently unfolding in the European Union.
“Nigeria advises that we proceed cautiously with the integration agenda, taking into consideration the above concerns and the lessons currently unfolding in the European Union.
“To that end, Nigeria will caution against any position that pushes for a fast-track approach to monetary union, while neglecting fundamentals and other pertinent issues,’’ the statement read.
Buhari also notes that numerous obstacles confront realising a single currency in the sub-region. Some of them he highlighted to include diverse and uncertain macroeconomic fundamentals, unrealistic inflation and inconsistency with the african monetary co-operation programme.
“The president said domestic issues in ECOWAS member countries relating to their constitutions and dependence on aids continue to affect the framework for implementing the single currency in the sub-region.”
“He told the Heads of State that the conditions that pushed Nigeria into withdrawing from the process in the past had not changed.
Nigeria had earlier withdrawn from the process because its key questions and concerns were ignored and till date, none of the issues has come up as an agenda issue to be considered by the taskforce.
President Buhari, therefore, suggested a thorough review of the convergence roadmap and the constitution of expert committee subject areas to come up with acceptable time frame, defined cost and funding sources identified.
The President also took to his verified Twitter handle @Mbuhari to explain some of the discussions about the regional single currency during the ECOWAS meeting in Niamey.
“Nigeria will caution against any position that pushes for a fast-track approach to monetary union, while neglecting pertinent issues.
“Our view is that ECOWAS member states are not yet fully prepared for a monetary union. This has always been one of Nigeria’s primary concerns
“We must not lower the criteria or be in a hurry simply because we want to achieve a monetary union. There is still a lot of work to be done
“Nigeria’s recommendation is for the constitution of an expert committee to come up with an acceptable Roadmap, and timelines and budget.
“That said, the integration agenda is a welcome one, and Nigeria will surely play a leading role—as long as all concerns are properly addressed.”
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