Governor of the Central Bank of Nigeria (CBN), Mr Godwin Emefiele has been appointed as the president of the Association of African Central Bank governors (AACB) for the 2016- 2017 year, according to a communiqué issued on Friday in Abuja at the end of the 39th Ordinary meeting of the Assembly of Governors of the AACB.
The communique said that the Assembly chose “Prospects for monetary integration in Africa: Lessons learned from the experience of monetary and financial integration of Europe” as its theme for 2017.
The 2016 Symposium had the theme: “Unwinding Unconventional Monetary Policies: Implications for Monetary Policy and Financial Stability in Africa”
The communiqué said that discussions showed that the unwinding of unconventional monetary policy measures, could have a negative impact on African countries due to the interconnectedness of economies.
It said that African countries face challenges, especially the depreciation of the exchange rate and the decline in capital flows which could result from an exit from unconventional monetary policies in the developed countries.
“On the other hand, the unwinding of unconventional monetary policy could be an opportunity for African countries to develop appropriate measures to strengthen their resilience in the face of exogenous shocks.
“In this regard, the Assembly of Governors stressed that it is necessary for African countries to diversify their economies and improve exports, while limiting imports.
“It also emphasised the urgent need for coordination between monetary and fiscal policy”, the communiqué said.
It also said that the Governors examined the state of implementation of the African Monetary Cooperation Programme (AMCP) and pointed out the inability of African states to sustainably meet some of the criteria for macroeconomic convergence.
This is because of the negative impact of the international environment including the fall in prices of raw materials and commodities.
They, however, called on countries to strengthen efforts at implementing structural reforms in order to diversify their economies, improve the business environment and promote intra-regional trade to strengthen their resilience in the face of external shocks.
It also said that the Governors reviewed the implementation of the work programme of the Community of African Banking Supervisors (CABS).
The session started on Monday with 27 member central banks and the African Union Commission (AUC) as part of the meetings.