The Commissioner for Finance at the ECOWAS Commission, Halima Ahmed says there was a 5% reduction in the revenue of the Economic Community of West African States (ECOWAS) in 2022.
Mrs Ahmed announced this in Lome, Togo, where she gave an overview of the Community’s 2020 Consolidated annual financial report at the delocalized meeting of the joint committees of the ECOWAS Parliament, which includes Public Accounts/Administration; Finance and Budget; Macroeconomic Policies and Economic Research, as well as Trade and Customs.
According to Mrs Ahmed, the revenue accruing to the Community from all sources decreased by about 13 million UA (Unit of Account), representing 5%, from 257 million UA in 2019 to 244 million UA in 2020.
Unit of Account (UA) refers to a monetary denomination used for accounting purposes, but not necessarily corresponding to any real currency.
Mrs Ahmed attributed the drop to the COVID-19 pandemic, which affected several economies of the world.
However, she said that with improved economic activities, there has been appreciable improvement in the Community Levy in the 2021 Fiscal Year.
She also pointed out that the Revenue from development partners increased from 35 million in 2019 to 48 million in 2020.
The raise, she said, was attributed to receipt of more funds, especially from the West African Health Organization (WAHO), due to the COVID-19 pandemic.
In terms of expenditure, it was revealed that the community, during the period, incurred about 81% increase in spending.
“The total expenses for all Community institutions increased by 135 million (81%) from 166 million in 2019 to 301 million in 2020,” Mrs Ahmed explained.
“The huge expenses were due to the provision of debt of 134 million made in the financial statement, in respect of long outstanding receivables from Member-States.”
She gave assurances of the Management’s commitment to improve the quality of ECOWAS’ Financial reporting across the Community’s institutions and agencies.
Reporting by Idara Ukpanyang; Editing by Daniel Adejo and Tony Okerafor