Ms Naglaa Nozahie representing the Association of African Central Banks (AACB) revealed that the plan to establish the African Central Bank (ACB) by the African Union will likely come to fruition by 2045.
Nozahie has made this known while presenting the progress report on the convergence of criteria for the ACB to the African Union on Thursday.
The briefing was part of proceedings at the third session of the Specialised Technical Committee of the African Union (AU) on Finance, Monetary Affairs, Economic Planning and Integration, holding in Yaounde, Cameroon.
The meeting, which was organised in collaboration with the African Capacity Building Foundation, had as its theme: “Public Policies for Productive Transformation in Africa’’.
Nozahie, who is also a Special Advisor to the Governor, Central Bank of Egypt, said the purpose of ACB was “to build a common monetary policy and single African currency as a way to accelerate economic integration on the continent’’.
She said: “In addition, the ratio of public debt to GDP must be less than 65 per cent while the ratio of total tax revenue to GDP must be more than 20 per cent.
“The ratio of government capital investment to tax revenue must be greater than 30 per cent.’’