While meeting at Nigeria’s capital Abuja to discuss regional security and integration, West African leaders and heads of states also spoke of launching the common ECOWAS currency Eco in 2020.
With its introduction, Eco breaks the link to CFA Francs, which is partially managed by the French.
Related: Use of CFA Currency in West Africa Comes to End With New French Bill
First mentioned to the public in 2000, the Eco got its name during the leaders’ meeting on December 21. The idea to introduce Eco was also almost shot down in 2013 as participating countries were failing to meet certain criteria such as stable inflation and fiscal deficits.
Ghana’s president Nana Akufo Adoo believes in the independence of the ECOWAS currency Eco. He, therefore, argues against pegging it to Euros, such as Cape Verde has done with their currency Escudo.
Eco robs Nigeria’s Naira off its name as Africa’s giant currency. The French claim CBN in Nigeria refuses to give up control over Naira. Consequently, CFA Francs was chosen as the base currency for Eco.
The International Monetary Fund (IMF) welcomes the idea of the common currency.
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