Ghana is determined to adopt the ECO currency as soon as possible, a statement from the presidency has said.
The statement applauded the decision taken by the eight (8) West African Member States of West African Economic and Monetary Union (UEMOA) to discontinue the use of the CFA Franc, in favour of the proposed, new common currency of ECOWAS, the ECO, beginning in 2020.
“We, in Ghana, are determined to do whatever we can to enable us join the Member States of UEMOA, soon, in the use of the ECO, as, we believe, it will help remove trade and monetary barriers, reduce transaction costs, boost economic activity, and raise the living standards of our people,” the statement signed by Eugene Arhin, Director of Communications at the Jubilee House said.
The statement further urged other Member States of ECOWAS to work rapidly towards implementing the decisions of the Authorities of ECOWAS, including adopting a flexible exchange rate regime, instituting a federal system for the ECOWAS Central Bank, and other related agreed convergence criteria, to ensure that we achieve the single currency objectives of ECOWAS, as soon as possible, for all Member States.
It will be recalled that on December 21, French President Emmanuel Macron and Ivorian President Alassane Ouattara announced an overhaul of the CFA franc, a currency used by eight states in West and Central Africa, most of them former French colonies.
The French-backed currency was established in 1945 and initially pegged to the French franc but has been linked to the euro for about two decades. Former French colonies Benin, Burkina Faso, Ivory Coast, Mali, Niger, Senegal and Togo still use the currency, as does Guinea-Bissau, according to France 24.
The ECO will be in use in 2020.