African Union Commission (AU) Chairman, Moussa Faki Mahamat, called on AU member states to comply with an agreement to remit 0.2 percent revenue of import levy by individual member states to finance the AU.
Mahamat was speaking at the commencement of the 29th Ordinary session of the Summit of the African Union which opened on Tuesday and will continue until July 4th.
The 0.2 percent import levy on individual member states agreement was made at the 27th African Union Summit held in July 2016, Kigali, Rwanda.
The decision which entered into force in January 2017, directs all member states to implement 0.2 percent levy on eligible imports from non-member countries to finance the Pan-African bloc.
In particular, the AU plans to have a predictable and reliable funding for continental peace through AU’s peace fund, thus reducing dependency on finances from external partners.
The 0.2 percent import levy is also planned to be a financing mechanism for Africa’s development and integration programs within the continent.
The AU hopes with this funding mechanism it will be able to meet all its operational fund needs by 2022.