Single Currency In Africa Case Study

A Single Unit of Currency in Africa Could Only Bring Benefits?

Africa is the poorest continent in the world. It has around 54 countries. Most of the countries have their own currency, only some share the same currency. Seeing that Europe has had a great success with the single monetary union it would be a great idea to adapt a similar currency to Africa. Combining the African currency’s into one single monetary union could bring benefits because when you look at Europe, they have been using the euro since 1999 and it has been very successful for them. A single currency in Africa could only bring benefits because there would be less currency instability, more price transparency and more jobs will be created.

Introducing a single currency in Africa would bring less currency instability in any of the countries that would be a part of this community. Many countries in Africa suffer from currency instability. When you look at Europe, they had a very high inflation rates before the euro. According to a Graph from the European Commissions, there were

According to economics help the euro has increased tourism by 6 % in Europe because they have adapted the single monetary union. In Africa this would be very beneficial because according to the World Bank there are many countries that have the potential of success in tourism. It is one of the largest and fastest growing sectors of the word economy and Africa is ready for development in the tourism area. Tourism would additionally create more jobs and benefit the economy. People would be more likely to come since it would be much cheaper and also People living in Africa would also travel more because it would be much cheaper. There would also be a greater competition and more international trade since it would be much