The ECOWAS Financial institution for Funding and Improvement (EBID) has formally launched the 2022 version of the West Africa Improvement Outlook (WADO), which takes inventory of socioeconomic developments of the earlier 12 months and presents a macroeconomic outlook for the 12 months 2022.
The WADO discusses the socio-economic challenges of the occasions and postulates coverage interventions that would assist ease these challenges.
The 2022 WADO, which is themed, “Navigating International Shocks by way of Structural Transformation and Commerce”, mentioned how the ECOWAS sub-region can mitigate the latest worth escalation by growing native manufacturing capacities, bettering intra-regional commerce and embarking on a deliberate structural transformation agenda.
It additionally discusses the causes of the latest worth hikes as being structural and the necessity for cautious financial coverage interventions.
Whereas saying the discharge of the WADO, the President and Chairman of the Board of Administrators of EBID, Dr. George Agyekum Donkor, emphasised the significance of the evaluation of key financial indicators as a method of highlighting the affect of latest international occasions on ECOWAS economies and postulating mitigating actions for coverage makers’ consideration.
He acknowledged that the WADO additionally highlights the alternatives and threats within the sub-region to information the funding choices of current and would-be traders.
The Director of Analysis and Strategic Planning of the Financial institution, Mr. MacDonald Saye Goanue, stated the difficult macroeconomic atmosphere the group faces because of which development prospects have been downgraded.
The elevated meals and power costs pose an awesome threat to fiscal consolidation and debt sustainability, whereas threatening to extend present account deficits and exerting strain on native currencies. There’s the necessity for a fiscal and financial coverage synchronicity to efficiently navigate these challenges.
EBID is a number one regional funding and improvement financial institution, owned by the 15 ECOWAS Member States.
The Financial institution continues to intervene by way of lengthy, medium, and short-term loans, fairness participation, strains of credit score, refinancing, monetary engineering operations and associated providers.