Sahel region experiences significant changes
Date
7/30/2024 8:00:53 AM
(MENAFN) The Sahel region is currently experiencing significant changes in security, politics, and economics, driven by recent developments in Burkina Faso, Mali, and Niger. Recent research and monitoring efforts have concentrated on the implications of military actions in these countries, particularly regarding their control over key mining areas and crucial trade routes connecting North, Central, and Southern Africa.
On July 6, 2024, the military councils of Burkina Faso, Mali, and Niger convened the inaugural summit of the Sahel Alliance, resulting in the formation of a new confederation. This alliance is designed to bolster cooperation among the three nations in addressing terrorist threats and armed groups, reflecting their intention to distance themselves from the Economic Community of West African States (ECOWAS). Additionally, the three countries are pursuing a move away from the CFA franc, the common currency of the West African Economic and Monetary Union (UEMOA), which is pegged to the euro. They have expressed a desire to establish their own unified currency.
In November of the previous year, finance ministers from Burkina Faso, Mali, and Niger issued a joint statement advocating for the creation of a committee of experts to explore the potential for economic and monetary union. They also proposed the establishment of a joint stabilization fund and an investment bank, along with the development of projects in energy, infrastructure, transportation, and food security.
However, the President of the ECOWAS Commission, Oumar Aliou Touray, has cautioned about the risks of "diplomatic and political isolation" that these countries may encounter, along with the potential loss of substantial investments. He has expressed concern that such actions could lead to the disintegration of these nations and has called for efforts to prevent their departure from the Economic Community of West African States.
According to data from the World Mining Congress, despite the Sahel region's vast natural wealth, this has not yet been reflected in high levels of human development. Mali, Africa’s third-largest gold producer, possesses a diverse array of resources, including approximately 800 million tonnes of gold deposits, 2 million tonnes of iron ore, 5,000 tonnes of uranium, 20 million tonnes of manganese, 4 million tonnes of lithium, and 10 million tonnes of limestone. Conversely, Niger is notable as the world's leading supplier of uranium and also has significant deposits of coal, gold, and oil.
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