ECOWAS Expects €19m Stabilization Fund from Germany

By Ahmed Rahma

The German Government is expected to give the Economic Community of West African States (ECOWAS) additional €19 million stabilization fund.

The Vice President of the ECOWAS Commission, Mrs Finda Koroma, made the disclosure at the ongoing Second Ordinary Session of ECOWAS Parliament held virtually.

Mrs Koroma said an additional €19 million is expected into the ECOWAS Stabilization Fund this year by the German government.

Recall that the German government in partnership with the European Union (EU) supported the commission with €41 million for the Organised Crime: West African Response’ (OCWAR) project late last year.

The OCWAR projects’ inauguration coincided with the emerging need for a broad response to tackling the criminal activities in the context of the COVID-19 pandemic.

To this end, the event focused on addressing the impact of the virus, which has led to new patterns and trends as criminal networks adapt to the constraints imposed on citizens, businesses and authorities.

According to the Vice President, the fund which seeks to address the economic stabilization of member states, currently stands at €19 million, in addition to the 3 million units of account from ECOWAS Commission which have accrued since 2018.

Mrs Koroma, who said the fund would cover post-Ebola countries like Guinea and Liberia, informed that the commission was pushing for a stand-alone fund just like The Gambia that has €17 million, for Guinea Bissau, some Northern States in Nigeria and Sahel countries.

She further explained that the fund would look at three priority sectors with an emphasis on job creation for women and youths and that it would be managed by fund management to be established within the ECOWAS Commission.

According to her, the fund will consist of four components which she explained.

“It will have four components as a private sector promotion and employment window, consisting of short term employment like labour, construction projects, maintenance of basic economic and social infrastructure as well as Medium-term employment creation through investment in value chain especially in agriculture”

“The first component includes Vocational training; entrepreneurship training and skill development, managed by GIZ while the second and is in the provision of infrastructure.

“The second component is the basic service provision and strengthening resilience. We will therefore look at construction or rehabilitation of basic social-economic infrastructures such as schools, health care facility, water, sanitation, transport and energy especially solar energy and other types.

“We will look at the investment that enhances resilience such as housing, dam and urban sewage,” she explained.

The two remaining components, according to Mrs Koroma, are the promotion of social cohesion and good governance which will look at social dialogue and conflict resolution as well as strengthening local and national implementation capability.