ECOWAS: The ECO Still Targeted for 2027, Convergence Council Speeds Up the Process

The 14 session of the Council reviewed the state of macroeconomic convergence among member states and the conditions still to be met before the common currency can be introduced. According to the ECOWAS statement released Tuesday 8 September, participants believe the 2027 target remains achievable despite persistent disparities between the region’s economies.

The work was based on the report from the 68 meeting of the ECOWAS Central Bank Governors Committee, held on 4 September, which was itself preceded by a joint technical meeting between the Commission and the West African Monetary Agency from 31 August to 2 September.

The ECO project aims to reduce currency exchange costs, facilitate cross-border trade, and deepen economic integration in West Africa. However, the currency must be introduced gradually, depending on compliance with convergence criteria and the institutional readiness of participating countries.

Convergence Criteria Still Difficult to Meet

Data presented this week in the West African Monetary Zone show that significant obstacles remain. In Liberia, Finance Minister Augustine Kpehe Ngafuan indicated that his country met three of the four primary criteria in 2025: budget deficit, monetary financing of the deficit, and foreign reserves. Inflation remains the main unmet criterion.

Across this monetary zone, which includes several ECOWAS countries not using the CFA franc, no state met all four primary criteria in 2025, according to figures presented at the 7 September meeting. However, compliance with primary criteria rose from 41.7% in 2024 to 45.8% in 2025, while compliance with secondary criteria reached 91.7%.

ECOWAS is simultaneously advancing the technical projects necessary for a future monetary union. The West African Monetary Agency is notably working on the regional payment and settlement system, designed to strengthen the interoperability of financial infrastructures among member states.