By James Amoh Junior, GNA
Accra, Nov. 14, GNA – Ghana has proposed an Accra Declaration on Financing the African Union (AU), outlining six key commitments aimed at strengthening the Union’s financial independence and reducing its reliance on external funding.
The proposed declaration seeks to improve domestic resource mobilisation, enhance institutional efficiency, strengthen peace and security financing and accelerate the establishment of African financial institutions.
Mr Samuel Okudzeto Ablakwa, the Minister of Foreign Affairs, announced the proposal in his welcome address at the Extraordinary Session of the AU Executive Council on Financing the African Union in Accra on Friday.
The proposal, he noted, was intended to translate the continent’s longstanding commitments to financial autonomy into concrete and measurable actions.
The six commitments include the adoption of an integrated financing and reform pathway, implementation of the 0.2 per cent levy on eligible imports or equivalent domestic financing mechanisms, and the introduction of a unified programme-based budget and medium-term expenditure framework.
The others are the capitalisation of the AU Peace Fund towards a one-billion-dollar target, institutionalisation of the partnership between the AU Commission and the Alliance of African Multilateral Financial Institutions, and a review of member states’ contribution arrangements, including the contribution cap and the erosion of the real value of contributions.
The minister said Africa must take greater responsibility for financing its priorities, noting that the continent could no longer depend excessively on external partners to fund its development and institutional programmes.
He cited projections for 2027, indicating that member states were expected to finance nearly 99 per cent of the AU’s operational budget but only about four per cent of its programme budget and 12 per cent for peace and security.
He said only 18 of the AU’s 55 member states had implemented the 0.2 per cent levy on eligible imports agreed upon in 2016.
The vacancy rate across more than 3,000 approved positions within the Union stood at 63 per cent, with a funding shortfall exceeding 200 million dollars between the approved staff structure and the budget allocated to support it, he added.
Mr Ablakwa said Ghana strongly supported Option C, the integrated pathway, which combined financial autonomy with institutional efficiency.
He explained that beyond mobilising additional resources, the AU must address duplication, overlapping programmes and weaknesses in budget allocation to ensure that available resources delivered maximum impact.
He called for stronger investment in preventive diplomacy, early-warning systems and mediation, stressing that peace and security should be treated as the foundation of Africa’s development rather than merely an expenditure item.
The minister said Ghana supported increasing the AU Peace Fund’s endowment target from 400 million dollars to one billion dollars, alongside a replenishment mechanism and diversified funding sources.
He also called for accelerated implementation of United Nations Security Council Resolution 2719 (2023) to ensure predictable financing for African-led peace support operations.
On alternative financing mechanisms, Mr Ablakwa welcomed the proposed partnership between the AU Commission and the Alliance of African Multilateral Financial Institutions, which seeks to mobilise African resources for the continent’s development.
The partnership aims to double the capital and financing capacity of participating institutions within three to five years and mobilise an additional 200 billion dollars in financing, investment, insurance, guarantees and risk mitigation over the next decade.
He said the initiative should complement, rather than replace, the financial obligations of member states.
Mr Ablakwa further announced that Ghana would deposit its instruments of ratification for the African Union’s financial institutions by 2027.
These include the African Central Bank, the African Monetary Fund and the African Investment Bank, which he described as essential pillars of the continent’s financial sovereignty.
He said Ghana would also strengthen domestic implementation of the AU levy and report its progress to the Executive Council.
The Minister announced that Ghana, when it assumed the Chairmanship of the Union in 2027, would convene an Extraordinary Summit on African Financial Institutions in Accra to advance efforts towards building, capitalising and operationalising the institutions.
He urged all AU member states to take at least one concrete step towards ratification before the next meeting.
Mr Ablakwa said the AU Commission should develop a time-bound implementation framework for the proposed commitments, with clearly defined responsibilities, timelines, milestones and reporting arrangements ahead of the 2027 Summit.
He stressed that the financing reforms must also take into consideration their impact on women, young people and underrepresented groups.
He recalled Ghana’s historic role in Africa’s liberation struggle, saying the continent must now pursue financial independence with the same determination that characterised its political liberation.
He said Africa had the resources, institutions and ideas needed to finance its future, adding that the missing ingredient was the collective political will to implement agreed commitments.
The Extraordinary Session brings together Ministers of Foreign Affairs and Finance, representatives of AU organs and institutions, and heads of African multilateral financial institutions to deliberate on sustainable financing for the continental organisation.
GNA
Edited by Agnes Boye-Doe
Reporter: James Amoh Junior
Email: [email protected]Â