Professor Vladimir Antwi-Danso, an international relations and security expert, has blamed the lack of political will on the part of African leaders as a major hurdle towards the adoption of a single currency for the continent.
Prof Antwi-Danso argued that the BRICS nations (Brazil, Russia, India, China and South Africa) had demonstrated the benefits of cooperation and currency swaps and valuable lessons for African countries as they look to form a common currency bloc.
He is therefore calling for a radical approach towards the adoption of a unified currency while emphasising the need for greater intra-African trade to enhance economic stability and reduce reliance on external currencies.
Prof Antwi-Danso made the assertions at the maiden edition of the Currency Development Dialogue Series organised by the Faculty of Accounting and Finance at the University of Professional Studies, Accra, on Thursday, July 27.
The forum was held under the theme “The Geopolitics of De-dollarization: BRICS Currency Strategy and Lessons for Africa’s Common Currency.”
It brought together esteemed economists, financial experts, policymakers, and scholars from across the country to discuss the possibilities and challenges of establishing a common currency for the African continent.
“Given the peculiar nature of African economies, de-dollarization may not be the option now,” Prof Antwi-Danso asserted.
“We can have an African currency now, and attempts at creating an African currency have to go hand-in-hand with efforts at uniting Africa. The Abuja Treaty has elements of how we should create an African currency, and it is time we took some action.”
Other speakers at the forum included Naa Dr. Alhassan Andani, Founder and Executive Chairman of LVSAfrica Limited; Mr Seth Amoako of Financial Intelligence Centre; and Mr Benjamin Amenumey, President of the Chartered Institute of Bankers.
Throughout the discussion, panelists acknowledged that achieving a common currency for Africa would be a complex and gradual process.
Director General of the West African Monetary Institute (WAMI), Dr Olorunsola Olowofeso, believes that the move towards monetary integration necessitates a comprehensive understanding of the continent’s economic diversity, political cooperation, and well-planned monetary policies.
He underscored the need for African countries to first strengthen their economic fundamentals, foster robust institutions, and establish mechanisms to manage fiscal deficits before considering monetary integration.
The maiden FAF Currency Development Dialogue Series provided a platform for open and candid conversations on a topic of great importance to the future of African economies.
