Nigeria / Opening session of the ECOWAS parliament / Status report on the community work programme / Abuja, 10 september 2008

 

 

Nigeria / Opening session of the
ECOWAS parliament / Status report on the community work programme / Abuja, 10 september 2008

 

ABUJA, Nigeria, September 11, 2008/African Press Organization (APO)/ — Status report on the community work programme

Dr. Mohamed Ibn Chambas President, ecowas commission

 

 

• Honourable Speaker of the ECOWAS Parliament,
  
• Honourable Members of the ECOWAS Parliament,
  
• Your Excellencies, members of the diplomatic corps,
  
• Distinguished Invited Guests,
  
• Members of the Press and Media,
  
• Ladies and Gentlemen,
  

 

It is my pleasure to welcome all of you to another Ordinary Session of the 2^nd Legislature of ECOWAS Parliament in 2008. As you all know, it is a statutory requirement for me to brief Honourable Members of ECOWAS Parliament on the recent developments relating to the implementation of the Community Work Programme and other main socio-economic and political events within the Community since the last ordinary session of May 2008.

 

As we all know, the ECOWAS Parliament is an important institution of the Community which provides advisory opinion on important issues germane to the sustainable integration and development of the Community. I am happy to state that the advisory opinion of the Community is highly regarded by all stakeholders including the decision-making organs of the Community, notably the Council of Ministers and the Authority of Heads of State and Government. Parliamentary debates, at both plenary and committee levels, are highly informative and rewarding such that the officials of the Community Institutions look forward to every session of Parliament. Indeed, we are eagerly waiting to participate in this session of Parliament.

 

It is my pleasure, therefore, to undertake my statutory duty of presenting before the Honourable Members of Parliament a status report on the progress made over the past few months in the implementation of the Community programmes in the areas of economic integration as well as peace and security. During the course of your deliberations, particularly at the committee level, the officials of the Commission will be available to provide further details on the implementation status of the Community Work Programme.

 

Honourable Speaker,

 

Since the May 2008 session of Parliament, a number of important events have taken place. The thirty-fourth ordinary session of the Authority of Heads of State and Government took place in Abuja on 23 June 2008. The one-day summit noted with satisfaction the improved macroeconomic management as well as improving governance situation in the Member States, in spite of the global financial turbulence and other negative exogenous shocks on the regional economy. It, however, expressed concern over the region’s slow pace in attaining the MDGs, particularly in the light of the persistent rise in the prices of crude oil and food, which have had adverse budgetary implications on the economies of most of the Member States. The summit, therefore, called on the oil-exporting Member States to show more solidarity with their non oil-exporting counterparts in order to help alleviate the adverse impact of the exogenous shock.

 

In addition, the Heads of State and Government stressed the importance of regional infrastructure for the scaling up of the economic development and integration process. In that regard, they designated their Excellencies Laurent Gbagbo, President of the Republic of Côte d’Ivoire and João Bernardo Vieira, President of the Republic of Guinea Bissau to coordinate the efforts of the ECOWAS and UEMOA Commissions in the development of regional infrastructure, transport and energy respectively. They also directed that the Project Preparation and Development Unit (PPDU) be made operational. The Heads of State and Government agreed to discuss at their next Summit in December 2008 recommendations to be proposed by the two Heads of State.

 

    Consequently, Extraordinary Meetings of Ministers of Energy and Transport have been convened by both Guinea-Bissau (August 27-30) and Côte d’Ivoire (September 2-4) respectively. The outcome of the meetings has been presented to the two Presidents to form the basis of their reports to the next summit of ECOWAS in December 2008.

 

Other decisions of the Authority relate, among others, to the effective implementation of the protocol on free movement of persons and goods, the right of residence and establishment, conclusion of a development-oriented Common External Tariff and effective implementation of the ECOWAS Common Agricultural Policy and Regional Strategy for short-, medium- and long-term food security.

 

 

Performance of the West African Economy

 

Honourable Members of Parliament,

 

There has been continued improvement in the economic performance of the Member States and that in spite of the high oil and food prices, our expectation is that the regional economic growth rate will remain above 5%. Although the adverse exogenous shocks including late rainfall, flooding (as experienced recently in Togo) and low producer prices for many of our agricultural commodities have accentuated a deterioration in the terms of trade, the medium-term economic prospects are favourable.

 

It would be recalled that some of the factors responsible for the dramatic increase in food prices since 2005/2006 include: adverse weather conditions in major grain producing regions in the world, with spill-over effects on crops and livestock that compete for the same land. In a context of low global stocks, these developments alone triggered strong price reactions. On the demand side, changing diets, urbanisation, economic growth and expanding populations were driving food and feed demand in developing countries. Globally, and in absolute terms, food and feed remained the largest sources of demand growth in agriculture. Another major factor was the increased industrial demand, especially for biofuel production.

 

Some of the policy measures embarked upon in our Member States to ameliorate the adverse situation include temporary suspension of the automatic oil price mechanism, provision of food aid using food reserves, temporary exemptions from custom fees and value added tax (VAT) for a few basic products, and indicative prices for goods based on import prices and “reasonable” margins. The estimated loss in revenues from temporary exemptions is about 0.3 percent of GDP. In some of the ECOWAS Member States, at current oil and food prices, the current account deficit may widen by about 3.0 percentage points.

 

On the part of the Commission, we are collaborating with our development partners to provide the much-needed assistance to our Member States affected by the global oil and food crises. In addition, in consonance with the ECOWAS Agricultural Policy (ECOWAS), we are making concerted efforts to enhance agricultural production and productivity in the region.

 

Socio-economic Programmes

 

Honourable Speaker,

 

ECOWAS remains engaged with the pursuit of its principal objective of promoting regional cooperation and integration. We are moving steadily towards the establishment of an economic union in West Africa. ECOWAS has focused on programmes in all development sectors: macro-economic policy harmonization leading to the creation of a single regional currency; progress towards the establishment of an ECOWAS customs union, and the related negotiation of an economic partnership agreement with the European Union; infrastructural development and enhanced service delivery; agricultural and environmental issues as well as human development.

 

    Monetary Integration Programme: As you would recall, the ECOWAS Monetary Cooperation Programme focuses on the macroeconomic convergence benchmarks, economic policy convergence and the building of the architecture of the monetary union. The Commission appreciates the commitment of the Member States towards achieving the macroeconomic policy convergence and the attainment of common market objectives of free movement of people, goods and services, which are necessary building blocks for a credible and sustained monetary union.

 

    With respect to financial sector integration, currently, all the Member States have adopted the Basel Core Principles (BCPs) as the basis for banking supervision. In the second monetary zone, two Member States, Ghana and Nigeria, have installed an electronic financial analysis and surveillance system (EFASS), a web-enabled analytical tool for the supervision of banks. In addition, there is official backing for the use of WAMZ national currencies (Dalasi, Cedi, Guinean Franc, Naira and Leone) in intra-regional trade. Moreover, work is underway on the integration of the Abidjan, Ghana and Nigerian stock exchanges to facilitate cross-border portfolio investment.

 

    Moreover, the African Development Bank (ADB) gave a grant of twenty three million dollars (US $23 million) for the establishment of a payment system, i.e. the real time gross settlement (RTGS) system, in the remaining three Member States of the WAMZ which are yet to have an RTGS payment system. The Member States are The Gambia, Guinea and Sierra Leone. The RTGS platform is currently being used in the UEMOA Member States, Ghana and Nigeria. Hence, viable and efficient real time payment and settlement of financial transactions in the region will soon be feasible.

 

Nevertheless, there are some challenges militating against the monetary integration process in West Africa. With the help of all stakeholders including the Honourable Parliamentarians, these challenges are surmountable. The challenges relate to lack of sustained implementation of economic policy measures by the Member States to meet or sustain the convergence criteria, especially, the inflation rate and fiscal deficit/GDP ratio criteria. It is therefore important to sustain sound macroeconomic policies and avoid quick fixes that may lead to policy reversals. In addition, there is ineffective sensitization of the citizenry which is required to ensure that all stakeholders identify with the project. It is thus necessary to ensure enhanced political support for the programme.

 

I must not fail to appreciate the interest of the Honourable Parliamentarians in this important issue of monetary integration as exemplified in your July 2008 meeting of the Parliamentary Committee on Administration and Finance which deliberated on the ECOWAS Single Currency Programme in the beautiful City of Asaba here in Nigeria. The assistance of Honourable Parliamentarians is sought to ensure that appropriate legal backing is provided for the establishment of the National Coordinating Committee (NCC) which is one of the four organs of the ECOWAS Multilateral Surveillance Mechanism, established to ensure the realization of the ECOWAS Monetary Cooperation Programme. Provision of legal backing will ensure sustainability of the activities of the NCC in the Member States as appropriate budgetary provisions will be made.

 

In addition, the assistance of ECOWAS Parliamentarians from the WAMZ Member States, especially Ghana and Nigeria, is required for the ratification and domestication of the WAMZ Statutes and Agreements including the West African Central Bank Statute. Also, the Parliamentarians are expected to assist with the sensitization of the citizens of the region including their fellow Parliamentarians in the Member States.

 

Common External Tariff: Concerted efforts are being made to ensure that the issue of the fifth band is amicably resolved. The report of the Consultant commissioned to explore the possibility of creating a fifth band, its rate and the list of products subject to it has been finalised and considered by experts of Member States. A final policy recommendation on the issue will be made by the Ministerial Monitoring Committee at its next meeting in Banjul.

 

EPA Negotiations: In light of the directive of the January 2008 summit of the Authority of Heads of State and Government on the need to make the EPA a veritable development instrument, the three categories of development programmes, namely improvement of the competitiveness of the productive sectors, payment of adjustment costs and fulfilment of obligations arising from the agreement have been prepared and will be considered during the Ministerial Monitoring Committee meeting in Banjul.

 

Energy Programme: In response to the June 2008 directive of the Authority to the ECOWAS Commission to identify ways of easing the energy crises and developing a long-term strategy towards the sustainable development and utilization of the region’s energy resources for the benefit of over 250 million people of West Africa, a high-level ECOWAS delegation visited the Republic of Trinidad and Tobago from 21 to 26 July 2008. The Republic of Trinidad and Tobago is an island country in the Caribbean, which is a model of a developing country that has efficiently utilized oil and gas resources for a sustained development of its economy.

 

The mission, which was organized by the ECOWAS Commission, included the Minister of African integration of Cote d’Ivoire, the Minister for Energy of Ghana, the Minister of Finance of Nigeria, the Minister of State (Gas) of Nigeria and the President of ECOWAS Commission. The objective of the mission was to follow–up on the support pledged by the Government of Trinidad and Tobago at the eighth summit of the African Union in Addis Ababa, Ethiopia in February 2008 and to have a preliminary assessment of the Trinidadian model as well as identify possible areas of cooperation between ECOWAS and Trinidad and Tobago in the energy sector. It would be recalled that during the African Union summit, His Excellency Patrick Manning, the Prime Minister of Republic of Trinidad and Tobago pledged his support to the African Continent in the development of the oil and gas sector.

 

Following the mission, ECOWAS seeks to rapidly develop its own capacity, from understanding, adapting and applying some of Trinidad and Tobago’s best practices and experiences in dealing with challenges and pitfalls of oil and gas resources. To achieve this, ECOWAS seeks to put in place a mechanism to collaborate with the Government of the Republic of Trinidad and Tobago. The follow-up activities already earmarked for implementation include:

• Assistance by Government of Trinidad and Tobago in the development of a Regional Energy Policy for the oil and gas sector in ECOWAS States;
  
• Facilitation of cooperation between Chambers of Commerce of Trinidad and Tobago and ECOWAS Member States;
  
• Establishment of an Implementation Team between Government of the Republic of Trinidad and Tobago and ECOWAS;
  
• Implementation of country specific programmes in January 2009;
  
• Implementation of recommended regional programmes/ activities between January 2010 and December 2014; and
  
• Development of a formal Framework Memorandum of Understanding between ECOWAS and the Government of Trinidad and Tobago.
  

 

In addition, the Government of Trinidad and Tobago has proposed to host a Ministerial Level Conference of African Energy Ministers in 2009. The African Union, ECOWAS and the Economic Community of Central African States (ECCAS) would be invited to attend the conference. ECOWAS undertakes to encourage the participation of Energy Ministers of its Member States in order to follow-up on the areas of co-operation agreed during this mission. I therefore enjoin you the Honourable Parliamentarians to continue to support us in our implementation of all the Community projects including the regional energy project being negotiated with the Republic of Trinidad and Tobago.

 

Free Movement of Persons:
As I reported in the last ordinary session of the Parliament, our activities include the implementation of the ECOWAS Common Approach on Migration, suppression of harassments along the routes and at the borders, and circulation of ECOWAS passport. Concerning the circulation of ECOWAS passport, the Commission has embarked on sensitization in Member States on the security of the travel documents. In this regard, the introduction of biometric features is highly encouraged. Meanwhile, not all the Member States have effectively put into circulation the ECOWAS passport. I wish to seize this opportunity to call on the remaining Member States to expedite action on the introduction of the passport.

 

Agriculture:
On the global food crisis, on 19 May 2008 we had a joint Ministerial meeting involving the ECOWAS Ministers of Agriculture, Trade and Finance. The meeting was convened to proffer workable solutions to the lingering food crisis. The solutions proffered by the Ministers, which took cognizance of the ECOWAS Common Agricultural Policy (ECOWAP), included structural as well as short, medium and long-term responses.

 

Peace and Security

 

Honourable Speaker,

 

The security situation in the region has witnessed some positive change since the beginning of 2008 notably in Côte d’Ivoire with the preparation of the forthcoming elections. However, developments in the Sahelian belt of Northern Mali and Northern Niger continue to be a source of concern. The status of the security situation in the region is summarized as follows:

 

Côte d’Ivoire: A major breakthrough in the resolution of the lingering crisis is the recent announcement of a fresh date for the Presidential election. The 30 November 2008 date proclaimed in a Presidential Decree has modified the earlier date of June 2008 scheduled under the Ouagadougou Supplementary Agreement III. A product of extensive consultation with relevant Ivorian stakeholders and with a significant input by the Independent Electoral Commission (CEI), the new date has received unanimous acceptance by Ivorians as realistic and feasible.

 

The Permanent Consultative Committee after the fifth meeting held on 10 July 2008 in Ouagadougou noted with satisfaction that funding for the electoral process is almost completed. However, the logistical and operational issues for the start of the identification as well as the security issue were highlighted as a major challenge. Further support is needed in the areas of capacity building and logistics for the Independent National Electoral Commission to enable it fulfill its role on the forthcoming elections.

 

So far, the leadership of Côte d’Ivoire has demonstrated sufficient resolve and determination, under the dedicated facilitation of the Chairman of ECOWAS, to ensure a successful implementation of the Ouagadougou Political Agreement and its ultimate exit strategy of a free, fair and transparent democratic election on 30 November 2008, in a Côte d’Ivoire reconciled with itself.

 

Guinea: The political situation in the Republic of Guinea was marked by the appointment of a new Prime Minister and Head of Government on 20 May 2008. The Prime Minister underlined Guinea’s commitment to organize free, transparent and credible legislative elections in November/December 2008. The restoration of State authority, peace and security in the country are among the priorities of the new government. However, due to political and financial constraints, the Voters’ registration exercise initially scheduled to begin on 15 July2008 was postponed to 1^st August 2008 during a meeting of the steering committee on 15 July 2008. The legislative elections are expected to cost about 158 billion Guinean francs, or about 15 billion CFA francs. The census operations will span two months, involving 2,100 agents that have already been trained.

 

Guinea Bissau: With regard to the upcoming Legislative Elections scheduled to take place on 16
November 2008 the Government finally took the decision to adopt the “manual” system for the registration of voters in order not to derail the time table set for the elections. Since July 3, the country has embarked on an electoral census. President Joao Bernardo “Nino” Vieira has called on his fellow compatriots to register in large numbers for the country ongoing voters’ registration exercise.

 

Concerning the security situation in the country, an ECOWAS high-level military delegation, including General Ali Traoré, the Chief of Defence Staff of the Armed Forces of Burkina Faso and current chairman of the Committee of ECOWAS Chiefs of Defence Staff, and General A. O. Azazzi, former Chief of Staff of the Nigerian Armed Forces, paid a four- day working visit to Guinea-Bissau from 24 to 27 April 2008. The Mission, which was in line with the decision of the 21^st session of the Committee of ECOWAS Chiefs of Staff held in Banjul, The Gambia from 19
to 21 March 2008 had the mandate of the ECOWAS Heads of State and Government of Burkina Faso and Nigeria to ascertain the state of the military barracks in Guinea-Bissau, the living conditions of the personnel of the military and also, meet with the national authorities to discuss the current political and socio-economic situation in the country. The delegation made recommendations with regard to the Defence and Security Sector Reform including improvements to the conditions of the military barracks, the living conditions of the personnel and professionalism of the military.

 

    In furtherance of its commitment to the ongoing Defence and Security Sector Reform, the EU dispatched a Mission led by General Juan Estaban Verastegui of Spain to Guinea Bissau. The Mission, comprising military personnel and civilians, was expected to support the country in all its security activities including anti-drug trafficking activities. It would also assist with the detailed plan for downsizing the armed and security forces. For its part, the Spanish Government donated communication equipment and other materials, valued at about 300,000 euros to the Ministry of Interior in support of the fight against drug trafficking and clandestine emigration into Europe.

 

In the month of May 2008, a number of international meetings were held with a view to arresting the drug menace in the country. The importance of the stabilization role being played by the United Nations Office on Guinea Bissau (UNOGBIS), the United Nations Office on Drug and Crime (UNODC) and ECOWAS in supporting the Government of Bissau’s efforts in the fight against the drug threat, the security sector reform and the preparation of legislative elections cannot be overemphasized. Next month, i.e. October 2008, a regional conference will be held to agree on a common regional strategy to fight drug trafficking and its impact on the wider ECOWAS region.

 

Liberia: Liberia launched its Poverty Reduction Strategy in a roundtable conference in Berlin on 26 and 27 June 2008. Liberia has made steady progress these past three years in the revitalization of its economy. Its economic performance as a post-conflict country has been impressive and the country has renewed its participation in ECOWAS with keenness and enthusiasm. There are, however, many challenges ahead in the maintenance and strengthening of these gains and in the consolidation of peace. Such challenges relate to the land issue and youth unemployment.

 

Sierra Leone: The Local Council Elections held on 5 July 2008 were successful. The support extended by ECOWAS Commission and other institutions buttressed the fact that the Government of Sierra Leone has been making steady efforts in improving the socio-economic conditions, promoting the rule of law, democratic governance and consolidation of peace in the country. ECOWAS will continue to play its role and work in close collaboration with partners from the International Contact Group to deepen the national reconciliation, governance reforms and reconstruction efforts in the country.

 

SAHEL (Situation in Northern Mali and Niger):

 

Mali: The security situation in Northern Mali is improving. The Government at an extraordinary cabinet meeting on 5 June 2008 overhauled its military leadership to improve the leadership of the armed forces as they struggle to quell an escalating year-old insurgency.

 

ECOWAS welcomes the agreement reached with the rebels in Algiers, Algeria on August 29, 2008 to resume peace talks in early September as it is only through dialogue and negotiations that a lasting solution can be found to the crisis.

 

ECOWAS strongly condemns the kidnappings and the use of land mines by the rebels, which pose a great risk to the civilian population and constitute obstacle to the security and development of the areas concerned. ECOWAS, once again, reiterates that violence should not be used as weapon to press for demands and that only dialogue can help achieve this through democratic processes.

 

Niger: Northern Niger witnessed increased insecurity resulting from attacks carried out by the Mouvement des Nigériens pour la Justice (MNJ) against the peaceful population and the Niger defence and security forces, which culminated in loss of human lives, injuries, hostage takings and the destruction of properties. This situation led the Government of Niger to take measures consistent with the Constitution to combat the insecurity in that part of the country.

 

Given the fact that democracy, political stability and security are necessary for sustained economic development, I wish to, once again, call on Honourable Members of Parliament to kindly support our political leaders to consolidate peace and security in the West African region. We must not allow the bug of military coup d’état that took place in our neighbouring country of Mauritania to infect us. ECOWAS strongly condemns the military incursion in Mauritania as it has potential impact on socio-economic conditions of the ECOWAS Member States given the fact that Mauritania is part of the economic partnership agreement being negotiated with the European Union.

 

Following many drug seizures and reports that West Africa has become a hub for drug trafficking, ECOWAS Heads of State and Government have expressed concern and have directed the Commission to address the issue. Drug consumption has debilitating effects on our youth and devastating socio-political and economic consequences on our countries and poses a threat to the peace and security of our region. Consequently, the ECOWAS Commission is organising a Ministerial conference on “Drug Trafficking as a Security Threat to West Africa” in Praia from 28 – 29 October 2008. The Conference will address issues relating to the threat posed to our region by drug trafficking and abuse. The conference, organised with our partners (NODC, UNOWA and the EU), will review the ECOWAS Regional Response Action Plan against drugs and produce a Draft Political Declaration to be submitted to the next Summit.

 

Concluding Remarks

 

As you may know, all the officials of the Commission attach particular importance to your sessions. We are holding ourselves in readiness to assist in the deliberations of the different committees of the ECOWAS Parliament. The purpose is to facilitate the work of the Parliamentary sessions and enhance the contributions that your institution, which is the legislative organ of the Community, is making to the regional integration process in West Africa.

 

 

Honourable Speaker,

Distinguished Invited Guests,

Members of the Press and Media,

Ladies and Gentlemen,

 

I wish this Session of the 2^nd Legislature of ECOWAS Parliament very fruitful deliberations.

 

I thank you for your kind attention.

SOURCE : Economic Community Of West African States (ECOWAS)