Political Feasibility Versus Operational Capacity in Regional Monetary Integration: A Case Study of the ECOWAS Common Currency.

Abstract

For over two decades, the Economic Community of West African States (ECOWAS) has pursued the establishment of a common currency, the "Eco," as a cornerstone of its regional integration agenda. Despite successive launch targets, 2003, 2005, 2009, 2015, 2020, and now 2027, the project remains unrealised. This paper argues that the persistent failure stems from a fundamental disconnect between political feasibility and operational feasibility. While political declarations have consistently affirmed commitment to monetary union, operational constraints, including structural economic divergences, institutional weaknesses, and sovereignty trade-offs, have rendered implementation impossible within announced timelines. Drawing on Optimum Currency Area theory and employing a qualitative analytical methodology, the paper examines the historical trajectory of monetary cooperation in West Africa, analyses the political and operational dimensions of the common currency project, and identifies the trade-offs that primary actors must confront. The findings reveal that the common currency policy has been politically expedient but operationally infeasible at each proposed launch date, leading to repeated postponements. The paper concludes with recommendations for bridging the gap between political ambition and operational reality, including a phased approach to monetary integration and the leveraging of digital payment systems as an intermediate step.