Aidoghie Paulinus, Abuja
The Minister of Foreign Affairs, Geoffrey Onyeama, has said that Nigeria is not ready for the take-off of the ECO Single Currency.
Speaking in Abuja, Onyeama stated that majority of the West African countries understood that Nigeria is not quite ready to go into the single currency market.
Onyeama also said Nigeria’s position on the single currency is what was agreed upon by the Economic Community of West African States (ECOWAS) which is very, very clear.
He added that there were certain preconditions that were put in place, including certain convergence criteria for a single currency.
Onyeama noted that only one country out of the ECOWAS member states had been able to over a period of three years, maintain the criteria such as level of inflation and external reserve over a certain period of time.
“So, majority of the countries understand that we are not quite ready to go into this single currency market.
“But it is a process. Some of the French-speaking countries understand that since their currency, the CFA, is linked to the euro, that they also have to de-link, to start preparing towards this single market.
“And so, they have taken certain measures where the 50 percent they ordinarily have to deposit to the French Central Bank, that is no longer going to be the case; France is no longer going to be represented on the board of the bank.
“So, there really are no major contradictions. There is no question of anybody colonising anybody. It was an initiative of the African countries and France accepted.
“Of course, the ECO is now going to be linked at the exchange rate with the euro. But that was a request, a specific request by the African countries.
“So, everything that is being done, is being undertaken by sovereign countries, exercising their sovereign wealth,” Onyeama said.