Burkina Faso, Niger, Mali Enact New Joint Import Tax

Mali, Burkina Faso, and Niger, neighbouring countries in West Africa, have introduced a new 0.5 tax on imported goods as they aim to finance a new union among the three nations after departing from the larger regional economic group, according to a statement.

The Alliance of Sahel States was established in 2023 as a security agreement among the military leaders of the three nations. Since its formation, it has evolved into a potential economic union, with initiatives for biometric passports and enhanced economic and military collaboration.

The tax was agreed upon on Friday and will be implemented immediately. It will apply to all products imported from outside the three nations, except for humanitarian assistance, as indicated in the statement. It will be used to fund the activities of the bloc, although specific details were not provided.

This development ends free trade in West Africa, where states have historically operated under the Economic Community of West African States ECOWAS. It underscores the schism between these three nations, situated along the Sahara Desert, and prominent democracies like Nigeria and Ghana to the south.

Recently, the three nations withdrew from ECOWAS , accusing the bloc of inaction in their struggle against armed groups and ongoing insecurity.