TWO years after nine West and Central African countries signed the charter for the establishment of a regional maritime bank, the project has yet to take-off, raising questions about the commitment and readiness of the member states to make the initiative a reality.
This is even as findings revealed that the delay in the banks take-off may not be unconnected to the political crisis within ECOWAS, which has led to some countries pulling out of the sub-regional bloc.
The Regional Maritime Development Bank (RMDB) as it is called is the baby of Maritime Organisation of West and Central Africa (MOWCA). The bank’s headquarters is proposed to be in Abuja, Nigeria.
The bank was intended to facilitate easier access to funding for maritime-related projects across the sub-region, aiming to raise $850 million in debt and $150 million in equity capital to drive growth and development within the sector.
As of 2022, Nigeria, the Democratic Republic of Congo, Côte d’Ivoire, Cameroon, Ghana, and other nations in the region had signed the bank’s charter, with prospects of additional countries joining the initiative.
The plan was to establish a bank focused on fostering the maritime industry’s growth, with its headquarters and presidency to be located in Nigeria.
However, two years later, findings have revealed that the bank has not materialized, and the lack of progress has left stakeholders questioning what went wrong.
An early report suggested that one of NIMASA’s zonal offices in Abuja would serve as the bank’s temporary base. However, sources close to the project have since revealed that the office, which was to house the bank, was not adequately equipped to serve as the headquarters for such a crucial institution.
This is even as our correspondent gathered that there are reports that Nigeria is actively seeking a more suitable space at the Bank of Industry in Abuja, though this move was yet to be finalized.
In addition to issues with infrastructure, our correspondent gathered that the failure of the bank to take-off could also be traced to financial shortfalls. Sources indicates that none of the nine countries that initially signed the charter have met their counterpart funding obligations, which are critical to kick-starting the bank. The lack of funding has stalled the bank’s establishment, despite the initial enthusiasm from member countries.
Sources also hinted that the political crisis within ECOWAS, which has led to some countries pulling out of the organization, has further complicated the situation. The recent withdrawal of Niger from ECOWAS, a source in the ministry of Marine and Blue Economy said, raised concerns about the country’s commitment to MOWCA (Maritime Organization of West and Central Africa), making it unlikely that they will contribute to the maritime bank or its related projects.
