African Nations Urged to Ratify Conventions to Establish AU Financial Institutions

Addis Ababa February 17/2024 (ENA)  African nations Urged to ratify conventions to establish the various continental financial institutions with a view to promoting intra-African trade, financial deepening, and stability. 

Presidential Dialogue  was held in Addis Ababa on the margine of the 37th AU summit on African Union Financial Institutions; Reforms of the Global Financial Architecture; and the Launch of the Africa Club.

In his address at dialogue  President of Ghana Nana Addo Dankwa Akufo-Addo advocated for changes to benefit African economies, suggesting that at least 30 percent of sovereign reserves held in foreign banks should be invested in African multilateral institutions like the African Development Bank and the African Export-Import Bank. 

Akufo-Addo proposed strengthening the balance sheets of these institutions to support African development effectively. 

He also recommended the establishment of an annual economic summit for African leaders to discuss economic matters affecting the continent. 

Akufo-Addo urged African nations to ratify conventions to establish the African Investment Bank, the African Monetary Fund, and the African Central Bank. 

 

Albert Muchanga, the Commissioner for Economic Development, Trade, Tourism, Industry and Minerals of the African Union Commission, emphasized the importance of these institutions in promoting intra-African trade, financial deepening, and stability. 

According to Albert Muchanga, the Commissioner for Economic Development, Trade, Tourism, Industry and Minerals of the African Union Commission, the establishment of the African Union Financial Institutions is crucial for Africa's development. 

He emphasized the importance of these institutions, including the African Central Bank, the African Investment Bank, the African Stock Market, the African Credit Agents, the African Monetary Fund, and the African Financial Stability Mechanism.

Muchanga called on member states to sign the necessary legal instruments and mobilize capital for their operation. 

He also highlighted the need for macroeconomic convergence to establish the African Central Bank and a common African currency. Muchanga urged swift action and participation to drive Africa's development agenda.