Expert committee meets in preparation for launching of ECO

Jun 21, 2022, 11:25 AM | Article By: Pa Modou Cham

The regional workshop of the expert committee on the harmonization of regulatory and supervisory frameworks of banking and microfinance institutions in ECOWAS Member States in preparation for the launch of the ECO (new ECOWAS currency) is underway in Banjul.

The activity is organised by the West African Monetary Agency (WAMA) in collaboration with the Central Bank of The Gambia and it seeks to provide the opportunity to practitioners in the banking and microfinance space of ECOWAS to harmonise their respective acts in preparation for the launching of ECO.  

Dr. Olorunsola E. Olowofeso, director general of West Africa Monetary Institute (WAMI), expressed delight over the state of the operations of WAMI since its establishment in 2001 which they were highly commended. This includes facilitating the integration of banking and non-banking sectors of the West African monetary zone (WAMZ).

He said WAMI in collaboration with the Members of the College of Supervisors (CSWAMZ) and the College of Supervisors of Non-Bank Financial Institutions (CSNBFI) had developed the model acts for banks and specialised deposit-taking institutions. He continued that WAMI also successfully developed a harmonised risk-based supervisory framework for the WAMZ.

He said WAMI is currently at an advanced stage in drafting a model act for non-bank financial institutions and non-bank financial holding companies of the WAMZ.

Dr. Olowofeso further highlighted that the importance of harmonising regulatory and supervisory frameworks of financial institutions for the creation of a monetary union as documented in extant literature cannot be overemphasised.

"It is my fervent belief that your deliberations in the days ahead would reveal the different levels and stages of implementations of international standards of member countries and would provide regulatory options to strengthen the financial system of ECOWAS.”

“I urge you all to remain committed to and support the activities of this expert committee for the good of all."

He reaffirms WAMI’s commitment to supporting a sound safe financial system in the zone and will continue to collaborate with sister institutions to create the appropriate regulatory environment.