Nigeria’s Central Bank Gov Backs Single Currency For Africa

Lamido Sanusi Single Currency Africa
Lamido Sanusi

AFRICANGLOBECentral Bank of Nigeria (CBN) Governor, Sanusi Lamido Sanusi has thrown his weight behind the proposed Africa Monetary Union which will see the continent have one central bank and a single currency.

Sanusi expressed his support when the Africa Union Commission/Association of African Central Bank (AACB) joint steering committee visited the CBN in Abuja.

The CBN Deputy Governor in charge of Economic Policy, Dr Sarah Alade represented Sanusi to welcome the committee.

He urged the members to “all see the project as a collective African project which must start on a strong foundation given lessons from other monetary unions.”

The committee had met in Abuja from June 17 to 20, 2013 to consider a commissioned report on the establishment of African Central Bank (ACB). The Africa Union (AUC) Steering Committee set up under the chairmanship of Governor Sanusi Lamido Sanusi in partnership with the Association of African Central Bank (AACB) set up a joint technical committee to closely monitor the progress and carry out preparatory work towards the establishment of the African Central Bank.

He called for understanding, commitment and compromise from all member states for the success of the project while emphasizing the importance of meeting the basic preconditions before moving to the final destination of single currency.

The joint technical committee is made of experts from the five Regional Economic Communities (RECs) in Africa, experts from the African Union Commission and representatives of central banks from the five regions. The experts met in Abuja to consider the strategic report in preparation for a Joint AUC-AACB meeting and the annual assembly of the AACB which will take place in Algiers, Algeria on June 27, 2013.

Specifically, they were mandated to provide deeper insight on the prerequisites and challenges of monetary integration with a view to advising on the practical challenges of creating a single currency and common African Central Bank including market unification and macroeconomic convergence as well as provide practical recommendations for the fulfillment of the preconditions.