ECOWAS decide to readmit Morocco

Members of the Economic Community of West African States recently convened to deliberate on the regional investment climate scorecard aimed at stimulating investments in the region. In a candid conversation with CNBC Africa, Kalilou Traore, the ECOWAS Commissioner for Industry and Private Sector Promotion, elucidated on the imperative need for fostering more formal trading practices within the region and delved into the topic of Morocco's integration into ECOWAS. Traore underscored the organization's commitment to fostering economic integration by creating regional common markets encompassing trade, industrialization, investment, and various other key sectors. He highlighted the pressing challenge of investment deficit within the region, estimating the annual investment requirement to be in the range of 45 to 50 billion dollars, whereas the current investment influx falls significantly short at less than 10 billion dollars. Traore emphasized the essential role of promoting investment to bridge this substantial gap, citing the development of the scorecard tool as a strategic initiative informed by contemporary knowledge on investment promotion. The removal of trade barriers and facilitation of investment flow through structural programs are envisioned to curb the proliferation of informal trading practices and steer the region towards more formalized economic progress. Traore also spoke about the evolutionary phase of enlargement within ECOWAS, drawing parallels with other regional blocs like the European Union, which expanded from 6 to 27 member states. Discussing Morocco's potential integration, Traore acknowledged Morocco's existing robust ties with the region as a significant investor and foresaw an enlargement bringing forth enhanced investment opportunities for both Morocco and other ECOWAS member countries. However, Traore emphasized the meticulous planning and technical groundwork requisite for a mutually beneficial integration process, alluding to ongoing collaborations with international bodies like the World Bank, IFC, and African Development Bank to leverage their expertise and experience. Moreover, Traore expounded on the progress made in internal intra-regional trade within ECOWAS, noting a steady increase in trade volume over the past decade despite a relatively low trade rate of 10-12%. He attributed this phenomenon to external factors like fluctuating raw material prices that obscured the actual growth in intra-regional trade volume. While affirming progress in regional trade, Traore reiterated the need for sustained efforts to bolster trade networks and enhance regional economic cooperation. As the ECOWAS Commissioner for Industry and Private Sector Promotion, Traore's insights shed light on the organization's strategic initiatives towards fostering investment, promoting formal trading practices, and facilitating Morocco's gradual integration into the ECOWAS community.