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Ablakwa urges AU members to implement 0.2% import levy to fund Union

Ablakwa urges AU members to implement 0.2% import levy to fund Union

Foreign Affairs Minister Samuel Okudzeto Ablakwa has urged African Union member states that have not implemented the agreed 0.2 per cent levy on eligible imports to do so without delay to strengthen the Union’s financial independence. Speaking at the 27th Extraordinary Session of the Executive Council on Financing the African Union in Accra, Mr Ablakwa said Africa could not continue to depend heavily on external support to finance its priorities.

Foreign Affairs Minister Samuel Okudzeto Ablakwa has urged African Union member states that have not implemented the agreed 0.2 per cent levy on eligible imports to do so without delay to strengthen the Union’s financial independence.

He said only 18 of the AU’s 55 member states had implemented the levy, which was agreed in 2016 as a predictable source of funding for the continental body.

Speaking at the 27th Extraordinary Session of the Executive Council on Financing the African Union in Accra, Mr Ablakwa said Africa could not continue to depend heavily on external support to finance its priorities.

He noted that although member states were projected to fund nearly 99 per cent of the AU’s operational budget in 2027, they contributed only about four per cent of its programme budget and 12 per cent of its peace and security budget.

“Put plainly: we pay for the lights, but we ask others to pay for the work,” he said.

The Minister called for the adoption of an integrated financing and reform approach that would improve both revenue mobilisation and the management of the Union’s resources.

He said the reforms should include eliminating duplication, phasing out overlapping programmes and adopting a unified programme-based budget, a medium-term expenditure framework and the principle of one programme per budget line.

Mr Ablakwa also called for a review of the existing $200 million contribution cap and measures to address the erosion of the real value of member states’ contributions.

He said Ghana would strengthen efforts to implement the levy domestically and report its progress to the Executive Council.

The Minister further proposed an Accra Declaration on Financing the Union, setting out six commitments, including implementation of the levy or an equivalent predictable domestic funding mechanism, adoption of a unified budget framework and increased funding for the AU Peace Fund.

He said the reforms were necessary to ensure that the African Union had the resources to fulfil its growing responsibilities.

“We cannot expect our Union to take on increasing responsibilities while operating with progressively fewer resources,” he said.

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