Sahel States Forge New Economic Path with Import Levy

Mali, Burkina Faso, and Niger introduce a 0.5% levy on imports to fund a new union after leaving ECOWAS. The Alliance of Sahel States, initially a security pact, aims for economic integration. The levy sidesteps humanitarian aid, underscoring their shift from regional ties.

The West African nations of Mali, Burkina Faso, and Niger have initiated a 0.5% levy on imported goods. This move supports their new tri-state union following their departure from the broader regional economic bloc, ECOWAS. The Alliance of Sahel States, which began as a security pact in 2023, now aspires to economic unification. Plans include the introduction of biometric passports and enhanced economic and military collaboration.

This levy, effective immediately, excludes humanitarian aid and aims to finance the bloc's activities. The creation of this union signifies an end to free trade across West Africa, marking a clear separation from influential democracies like Nigeria and Ghana. The three nations' juntas previously announced intentions to exit ECOWAS, critiquing the bloc's inefficacy in tackling Islamist insurgencies and bringing security.

Despite ECOWAS's imposition of economic, political, and financial sanctions to restore constitutional order, these measures have had limited impact. Mali, Burkina Faso, and Niger, some of the world's poorest nations, have battled an armed Islamist insurgency for over ten years, resulting in significant casualties, widespread displacement, and diminishing trust in democratic governance.

(With inputs from agencies.)