Treaty Establishing the African Economic Community (AEC Treaty) [*]
Done at: Abuja
Date enacted: 1991-06-03
In force: 1994-05-12
Content
- Chapter 1 - Definitions
- Chapter II - Establishment, principles, objectives, general undertaking and modalities
- Chapter III - Organs of the Community
- Chapter IV - Regional economic communities
- Chapter V - Customs Union and liberalisation of trade
- Chapter VI - Free movement of persons, rights of residence and establishment
- Chapter VII - Money, finance and payments
- Chapter VIII - Food and agriculture
- Chapter IX - Industry, science, tecnology, energy, natural resources and environment
- Chapter X - Transport, communication and tourism
- Chapter XI - Standardisation and measurement systems
- Chapter XII - Education, training and culture
- Chapter XIII - Human resources, social affairs, health and population
- Chapter XIV - Co-operation in other fields
- Chapter XV - Special provisions in respect of certain countries
- Chapter XVI - Solidarity, Development and Compensation Fund
- Chapter XVII - Financial provisions
- Chapter XVIII - Setlement of disputes
- Chapter XIX - Relations between the Community and regional economic communities, regional continental organisations and other socio-economic organisations and associations
- Chapter XX - Relations between the Community, Third States and international organisations
- Chapter XXI - Relations between Member States, Third States, regional and sub-regional organisations and international organisations
- Chapter XXII - Miscellaneous provisions
Preamble
We, the Heads of State and Government of the Member States of the Organisation of African Unity (OAU);
[List omitted]
Mindful of the principles of international law governing relations between States;
Bearing in mind the principles and objectives set forth in the Charter of the Organisation of African Unity;
Conscious of our duty to develop and utilise the human and natural resources of the Continent for the general well-being of our peoples in all fields of human endeavour;
Recognizing the various factors which hinder the development of the Continent and seriously jeopardise the future of its peoples;
Having regard to the various resolutions and declarations adopted by our Assembly in Algiers in September 1968, in Addis Ababa in August 1970 and May 1973 providing that the economic integration of the Continent is a pre-requisite for the realisation of the objectives of the OAU;
Having regard to our decision taken in Libreville in July 1977 endorsing the Kinshasa Declaration adopted by our Council of Ministers in December 1976 concerning the establishment of an African Economic Community, objective to be attained in successive stages;
Considering the “Monrovia Declaration of Commitment on the Guidelines and Measures for National and Collective Self-reliance in Economic and Social Development for the Establishment of a New International Order” and which, interalia, calls for the Creation of an African Common Market as a prelude to an African Economic Community;
Considering further the Lagos Plan of Action and the Final Act of Lagos of April 1980 reaffirming our Commitment to establish, by the year 2000, an African Economic Community in order to foster the economic, social and cultural integration of our Continent;
Finally considering our Declaration made on the occasion of the Twentyfifth Anniversary of the OAU and, in particular, the reaffirmation of our commitment and our determination to take the necessary steps to accelerate the establishment of the proposed African Economic Community;
Noting that the efforts already made in the sub-regional and regional sectoral economic co-operation are encouraging and justify a larger and fuller economic integration;
Noting the need to share, in a equitable and just manner, the advantages of cooperation among Member States in order to promote a balanced development in all parts of the Continent;
Have decided to establish an African Economic Community constituting an integral part of the OAU and hereby agree as follows:
Chapter 1 - Definitions
Article 1
For the purpose of this Treaty
a. |
“Treaty” shall mean the present Treaty; |
b. |
“Protocol” shall mean an instrument of implementation of the Treaty having the same legal force as the latter; |
c. |
“Community” shall mean the organic structure for economic integration established under Article 2 of this Treaty and constituting an integral part of the OAU; |
d. |
“Region” shall mean an OAU region as defined by Resolution CM/Res.464 QCXVI) of the OAU Council of Ministers concerning the Division of Africa into five (5) regions namely North Africa, West Africa, Central Africa, East Africa and Southern Africa; |
e. |
“Sub-region” shall mean at least three (3) States of one or more regions as defined in paragraph 1(d) of this Article; |
f. |
“Member States” shall mean a Member State of the Community; |
g. |
“Third State” shall mean any State other than a Member State; |
h. |
“Assembly” shall mean the Assembly of Heads of State and Government of the OAU as provided for in Articles 7 and 8 of this Treaty, |
i. |
“Council” shall mean the Council of Ministers of the OAU as provided for in Articles 7 and 11 of this Treaty; |
j. |
“Pan-African Parliament” shall mean the parliamentary assembly established under Articles 7 and 14 of this Treaty; |
k. |
“Commission” shall mean the Economic and Social Commission of the OAU as provided for under Articles 7 and 15 of this Treaty; |
l. |
“Committee” shall mean any specialised technical committee established under Articles 7 and 25 of this Treaty or in pursuance thereof; |
m. |
“Court of Justice” shall mean the Court of Justice of the Community constituted under Articles 7 and 18 of this Treaty; |
n. |
“Secretariat” shall mean the General Secretariat of the OAU provided for in Articles 7 and 21 of this Treaty; |
o. |
“Secretary-General” shall mean the Secretary-General of the OAU as provided for in Article 23 of this Treaty; |
p. |
“Customs Duty” shall mean protective customs duties and charges having equivalent effect, levied on goods for their importation; |
q. |
“Export Duties and Taxes” shall mean export duties and charges having equivalent effect, levied on goods for their exportation; |
r. |
“Customs Duties and Taxes” shall mean all duties and taxes as defined in paragraphs (p) and (q) of this Article; |
s. |
“Non-Tariff Barriers” shall mean barriers which hamper trade and which are caused by obstacles other than fiscal obstacles; |
t. |
“Intra-Community Trade System” shall mean the system under which advantages are accorded to the goods referred to in Paragraph 1, Article 33 of this Treaty; |
u. |
“Goods in Transit” shall mean goods being transported between two Member States or between a Member State and a third State and passing through one or more Member States; |
v. |
“Barter Agreement” or “Compensatory Exchanges” shall mean any agreement under which goods and services imported into a Member State may be paid for in full or in part by direct exchange of goods and services; |
w. |
“Fund” shall mean the Solidarity, Development and Compensation Fund of the Community established pursuant to Article 80 of this Treaty; and |
x. |
“Person” shall mean a natural or legal person. |
Chapter II - Establishment, principles, objectives, general undertaking and modalities
Article 2
Establishment of the Community
The High Contracting Parties hereby establish among themselves an African Economic Community (AEC).
Article 3
Principles
The High Contracting Parties, in pursuit of the objectives stated in Article 4, of this Treaty solemnly affirm and declare their adherence to the following principles:
a. |
Equality and inter-dependence of Member States; |
b. |
Solidarity and collective self-reliance; |
c. |
Inter-State co-operation, harmonisation of policies and integration of programmes; |
d. |
Promotion of harmonious development of economic activities among Member States; |
e. |
Observance of the legal system of the Community; |
f. |
Peaceful settlement of disputes among Member States, active cooperation between neighbouring countries and promotion of a peaceful environment as a pre-requisite for economic development; |
g. |
Recognition, promotion and protection of human and peoples' rights in accordance with the provisions of the African Charter on Human and Peoples' Rights; and |
h. |
Accountability, economic justice and popular participation in development. |
Article 4
Objectives
1. |
The objectives of the Community shall be:
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2. |
In order to promote the attainment of the objectives of the Community as set out in paragraph I of this Article, and in accordance with the relevant provisions of this Treaty, the Community shall, by stages, ensure:
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Article 5
General undertakings
1. |
Member States undertake to create favourable conditions for the development of the Community and the attainment of its objectives, particularly by harmonising their strategies and policies. They shall refrain from any unilateral action that may hinder the attainment of the said objectives. |
2. |
Each Member State shall, in accordance with its constitutional procedures, take all necessary measures to ensure the enactment and dissemination of such legislation as may be necessary for the implementation of the provisions of this Treaty. |
3. |
Any Member State, which persistently fails to honour its general undertakings under this Treaty or fails to abide by the decisions or regulations of the Community, may be subjected to sanctions by the Assembly upon the recommendation of the Council. Such sanctions may include the suspension of the rights and privileges of membership and may be lifted by the Assembly upon the recommendation of the Council. |
Article 6
Modalities for the establishment of the Community
1. |
The Community shall be established gradually in six (6) stages of variable duration over a transitional period not exceeding thirty-four (34) years. |
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2. |
At each such stage, specific activities shall be assigned and implemented concurrently as follows:
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3. |
All measures envisaged under this Treaty for the promotion of a harmonious and balanced development among Member States, particularly, those relating to the formulation of multi-national projects and programmes, shall be implemented concurrently within the time period specified for the attainment of the objectives of the various stages outlined in paragraph 2 of this Article. |
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4. |
The transition from one stage to another shall be determined when the specific objectives set in this Treaty or pronounced by the Assembly for a particular stage, are implemented and all commitments fulfilled. The Assembly, on the recommendation of the Council, shall confirm that the objectives to a particular stage have been attained and shall approve the transition to the next stage. |
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5. |
Notwithstanding the provisions of the preceding paragraph, the cumulative transitional period shall not exceed forty (40) years from the date of entry into force of this Treaty. |
Chapter III - Organs of the Community
Article 7
Organs
1. |
The organs of the Community shall be:
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2. |
The Organs of the Community shall perform their duties and act within the limits of the powers conferred on them by this Treaty. |
Article 8
The Assembly of Heads of State and Government
Composition and powers
1. |
The Assembly shall be the supreme organ of the Community. |
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2. |
The Assembly shall be responsible for implementing the objectives of the Community. |
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3. |
To this end, it shall:
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4. |
The Assembly shall be assisted by the Council in the performance of its duties. |
Article 9
Meetings
1. |
The Assembly shall meet once a year in regular session. An extraordinary session may be convened by the Chairman of the Assembly or at the request of a Member State provided that such a request is supported by two-thirds of the members of the Assembly. |
2. |
The office of the chairman shall be held every year by one of the Heads of State and Government elected by the Assembly after consultation among Member States. |
Article 10
Decisions
1. |
The Assembly shall act by decisions. |
2. |
Without prejudice to the provisions of paragraph (5) Article 18, decisions shall be binding on Member States and organs of the Community, as well as regional economic communities. |
3. |
Decision shall be automatically enforceable thirty (30) days after the date of their signature by the Chairman of the Assembly, and shall be published in the official journal of the Community. |
4. |
Unless otherwise provided in this Treaty, decision of the Assembly shall be adopted by consensus, failing that, by a two-thirds majority of Member States. |
Article 11
The Council of Ministers composition, functions and powers
1. |
The Council shall be the Council of Minister of the OAU. |
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2. |
The Council shall be responsible for the functioning and development of the Community. |
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3. |
To this end, it shall:
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Article 12
Meetings
1. |
The Council shall meet twice a year in Ordinary Session. One such Session shall precede the Ordinary Session of the Assembly. An extra-ordinary Session may be convened by the Chairman of the Council or at the request of a Member State provided that such request is supported by two-thirds of the members of the Council. |
2. |
The office of the Chairman of the Council shall be held by the Minister of a Member State elected by the Council after consultations among its members. |
Article 13
Regulations
1. |
The Council shall act by regulations. |
2. |
Without prejudice to the provisions of paragraph (5) of Article 18 of this Treaty, such regulations shall be binding on Member States, subordinate organs of the Community and regional economic communities after their approval by the Assembly. Notwithstanding the foregoing provisions, regulations adopted as aforesaid shall forthwith have a binding effect in the case of delegation of powers by the Assembly pursuant to paragraph 3(j) of Article 8 hereof. |
3. |
Regulations shall be enforceable automatically thirty (30) days after the date of their signature by the Chairman of the Council and shall be published in the official journal of the Community. |
4. |
Unless otherwise provided in this Treaty, regulations shall be adopted by consensus or, failing that, by two-thirds majority of Member States. |
Article 14
The Pan-African Parliament
1. |
In order to ensure that the peoples of Africa are fully involved in the economic development and integration of the Continent, there shall be established a Pan-African Parliament. |
2. |
The composition, functions, powers and organisation of the Pan-African Parliament shall be defined in a Protocol providing thereof. |
Article 15
Economic and Social Commission composition and participation
1. |
The Commission shall be the Economic and Social Commission of the OAU. |
2. |
The Commission shall comprise Ministers responsible for economic development, planning and integration of each Member States. They may be assisted, as and when necessary, by other Ministers. |
3. |
Representatives of regional economic communities shall participate in meetings of the Commission and its subsidiary organs. |
The modalities and conditions of their participation shall be prescribed in the protocol concerning relations between the Community and African regional and sub-regional organisations and Third States. Representatives of other organisations may also be invited to participate as observers in the deliberations of the Commission.
Article 16
Functions
The Commission shall carry out the following functions:
a. |
Prepare, in accordance with the Lagos Plan of Action and the Final Act of Lagos, programmes, policies and strategies for co-operation in the fields of economic and social development among African countries on the on hand, and between Africa and the International community on the other, and make appropriate recommendations to the Assembly, through the Council; |
b. |
Coordinate, harmonize, supervise and follow-up the economic, social, cultural, scientific and technical activities of the Secretariat, of the Committees and any other subsidiary body; |
c. |
Examine the reports and recommendations to the Assembly, through the Council, and ensure their follow-up; |
d. |
Make recommendations to the Assembly, through the Council with a view of co-ordinating and harmonising the activities of the different regional economic communities; |
e. |
Supervise the preparation of international negotiations, assess the results thereof and report thereon to the Assembly through the Council; and |
f. |
Carry out all other functions assigned thereto by the Assembly or the Council. |
Article 17
Meetings
1. |
The Commission shall meet at least once a year in Ordinary Session. It may be convened in extraordinary Session either on its own initiative or at the request of the Assembly or the Council. |
2. |
The Ordinary Session of the Commission shall be held immediately before the Ordinary Session of the Council preceding the Session of the Assembly and at the same venue of such Session. |
3. |
The Commission shall prepare and adopt its rules of procedure. |
Article 18
Court of Justice - Constitution and functions
1. |
A Court of Justice of the Community is hereby constituted. |
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2. |
The Court of Justice shall ensure the adherence to law in the interpretation and application of this Treaty and shall decide on disputes submitted thereto pursuant to this Treaty |
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3. |
To this end, it shall:
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4. |
The Assembly may confer on the Court of Justice the power to assume jurisdiction by virtue of this Treaty over any dispute other than those referred to in paragraph 3(a) of this Article. |
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5. |
The Court of Justice shall carry out the functions assigned to it independently of the Member States and the other organs of the Community. |
Article 19
Decisions of the Court
The Decisions of the Court of Justice shall be binding on Member States and organs of the Community.
Article 20
Organisation
The statutes, membership, procedures, and other matters relating to the Court of Justice shall be determined by the Assembly in a protocol relating to the Court of Justice.
Article 21
Composition General Secretariat
1. |
The Secretariat shall be the General Secretariat of the OAU. |
2. |
The Secretariat shall be headed by the Secretary-General assisted by the necessary staff for the smooth functioning of the Community. |
Article 22
Functions of the Secretary-General
1. |
The Secretary-General shall direct the activities of the Secretariat and shall be its legal representative. |
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2. |
The Secretary-General shall:
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Article 23
Appointments
1. |
The Secretary-General and his assistants shall be elected by the Assembly in accordance with the relevant provisions of the OAU Charter and the rules of procedure of the Assembly. |
2. |
The Financial Controller and the Accountant shall be appointed by the Assembly for a term of four (4) years renewable once only. |
3. |
In the appointment of the staff of the Community, and in addition to the need to ensure high integrity and competence, consideration shall be given to equitable geographical distribution of posts among all Member States. |
Article 24
Relations between the staff of the Community and Member States
1. |
In the performance of their duties, the Secretary-General and his Assistants, the Financial Controller, the Accountant and the staff of the Community shall be accountable only to the Community. In this regard, they shall neither seek nor accept instructions from any Government or any national or international authority external to the Community. They shall refrain from any conduct incompatible with the nature of their status as international officers. |
2. |
Every Member State undertakes to respect the international character of the duties of the Secretary-General, his Assistants, the Financial Controller, the Accountant and other officers of the Community and undertakes not to influence them in the performance of their duties. |
3. |
Member States undertake to cooperate with the Secretariat and other organs of the Community and to assist them in the discharge of the functions assigned thereto under this Treaty. |
Article 25
Specialised Technical Committees
Establishment and composition
1. |
There is hereby established the following Committees:
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2. |
The Assembly shall, whenever it deems appropriate, restructure the existing Committees or establish other Committees. |
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3. |
Each Committee shall comprise a representative of each Member State. The representatives may be assisted by advisors. |
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4. |
Each Committee may, as it deems it necessary, set up subsidiary committees to assist the Committee in carrying out its work. It shall determine the composition of any such subsidiary Committee. |
Article 26
Functions
Each Committee shall within its field of competence:
a. |
Prepare projects and programmes of the Community and submit them to the Commission; |
b. |
Ensure the supervision, follow-up and the evaluation of the implementation of decisions taken by the organs of the Community; |
c. |
Ensure the co-ordination and harmonisation of projects and programmes of the Community; |
d. |
Submit to the Commission, either on its own initiative or at the request of the Commission, reports and recommendations on the implementation of the provisions of this Treaty; and |
e. |
Carry out any other functions assigned to it for the purpose of ensuring the implementation of the provisions of this Treaty. |
Article 27
Meetings
Subject to any directives given by the Commission, each Committee shall meet as often as necessary and shall prepare its rules of procedure and submit them to the Commission for approval.
Chapter IV - Regional economic communities
Article 28
Strengthening of regional economic communities
1. |
During the first stage, Member States undertake to strengthen the existing regional economic communities and to establish new communities where they do not exist in order to ensure the gradual establishment of the Community. |
2. |
Member States shall take all necessary measures aimed at progressively promoting increasingly closer co-operation among the communities, particularly through co-ordination and harmonisation of their activities in all fields or sectors in order to ensure the realisation of the objectives of the Community. |
Chapter V - Customs Union and liberalisation of trade
Article 29
Customs Union
Member States of each regional economic community agree to progressively establish among them during a transitional period specified in Article 6 of this Treaty, a Customs Union involving:
a. |
The elimination, among Members States of each regional economic community, of customs duties, quota restrictions, other restrictions or prohibitions and administrative trade barriers, as well as all other non-tariff barriers; and |
b. |
The adoption by Member States of a common external customs tariff. |
Article 30
Elimination of customs duties among Member States of regional economic communities
1. |
During the second stage, Member States of each regional economic community shall refrain from establishing among themselves any new customs duties and from increasing those that apply in their mutual trade relations. |
2. |
During the third stage, Member States shall progressively reduce and eliminate finally among themselves, at the level of each regional economic community, customs duties in accordance with such programme and modalities as shall be determined by each regional economic community. |
3. |
During each stage, the Assembly, on the recommendation of the Council, shall take the necessary measures with a view to co-ordinating and harmonising the activities of the regional economic communities relating to the elimination of customs duties among Member States. |
Article 31
Elimination of non-tariff barriers to Intra-Community Trade
1. |
At the level of each regional economic community and subject to the provisions of the Treaty, each Member State shall, upon the entry into force of this Treaty, progressively relax and ultimately remove quota restrictions, and all other non-tariff barriers and prohibitions which apply to exports to that State, of goods originating in the other Member States, at the latest, by the end of the third stage and in accordance with paragraph (2) of this Article. Except as otherwise provided or permitted by this Treaty, each Member State shall thereafter refrain from imposing any further restrictions or prohibitions on such goods. |
2. |
Subject to the provisions of this Treaty, each regional economic community shall adopt a programme for the progressive relaxation and ultimate elimination, at the latest by the end of the third stage, of all quota restrictions and prohibitions and all other non-tariff barriers that apply in a Member State, to imports originating in the other Member States; it being understood that each regional economic community may subsequently decide that all quota restrictions, other restrictions and prohibitions be relaxed or removed within a shorter period than that prescribed in this paragraph. |
3. |
The arrangements governing restrictions, prohibitions, quota restrictions, dumping subsidies and discriminatory practices shall be the subject of a Protocol concerning Non-Tariff Trade Barriers. |
Article 32
Establishment of a common external customs tariff
1. |
During the third stage, Member States shall, at the level of each regional economic community, agree to the gradual establishment of a common external customs tariff applicable to goods originating from third States and imported into Member States. |
2. |
During the fourth stage, regional economic communities shall, in accordance with a programme drawn up by them, eliminate differences between their respective external customs tariffs. |
3. |
During the fourth stage the Council shall propose to the Assembly the adoption, at Community level, of a common customs and statistical nomenclature for all Member States. |
Article 33
System of Intra-Community Trade
1. |
At the end of the third stage, no Member State shall, at the level of each regional economic community, levy customs duties on goods originating in one Member State and imported into another Member State. The same prohibition shall apply to goods originating from third States which are in free circulation in Member States and are imported from one Member State into another. |
2. |
The definition of the notion of products originating in Member States and the rules governing goods originating in a third States and which are in free circulation in Member States shall be governed by a Protocol concerning the Rules of Origin. |
3. |
Goods originating from third States shall be considered to be in free circulation in a Member State if (i) the import formalities relating thereto have been complied with, (ii) customs duties have been paid thereon in that Member State, and (iii) they have not benefited from a partial or total exemption from such customs duties. |
4. |
Member States undertake not to adopt legislation implying direct or indirect discrimination against identical or similar products originating from another Member State. |
Article 34
Internal taxes
1. |
During the third stage, Member States shall not levy, directly or indirectly on goods originating from Member State and imported into any Member State, internal taxes in excess of those levied on similar domestic products. |
2. |
Member States, at the level of each regional economic community, shall progressively eliminate any internal taxes levied for the protection of domestic products. Whereby virtue of obligations assumed under a prior agreement signed by a Member State, that Member State is unable to comply with this Article, it shall notify the Council of this fact and shall not extend or renew such agreement when it expires. |
Article 35
Exceptions and safeguard clauses
1. |
Notwithstanding the provisions of Articles 30 and 31 of this Treaty, any Member State, having made its intention known to the Secretariat of the Community which shall inform Member States thereof, may impose or continue to impose restrictions or prohibitions affecting:
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2. |
The prohibitions or restrictions referred to in paragraph 1 of this Article shall in no case be used as a means of arbitrary discrimination or a disguised restriction on trade between Member States. |
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3. |
Where a Member State encounters balance-of-payments difficulties arising from the application of the provisions of this Chapter, that Member State may be allowed by the competent organ of the Community, provided that it has taken all appropriate reasonable steps to overcome the difficulties, to impose, for the sole purpose of overcoming such difficulties, quantitative or similar restrictions or prohibitions on goods originating in the other Member States for such period as shall be determined by the competent organ of the Community. |
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4. |
For the purpose of protecting an infant or strategic industry, a Member State may be allowed by the competent organ of the Community, provided it has taken all appropriate reasonable steps to protect such industry, to impose, for the sole purpose of protecting such industry, quantitative or similar restrictions or prohibitions, on similar goods originating in the other Member States for such period as shall be determined by the competent organ of the Community. |
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5. |
Where the imports of a particular product by a Member State from another Member State increase in a way that causes, or is likely to cause, serious damage to the economy of the importing states. The latter may be allowed by the competent organ of the Community to apply safeguard measures for a specified period. |
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6. |
The Council shall keep under regular review the operation of any quantitative or similar restrictions or prohibitions imposed pursuant to paragraphs 13, and 4 of this Article and shall take appropriate action in this connection. It shall submit, each year, to the Assembly, a report on the aforementioned matters. |
Article 36
Dumping
1. |
Member States shall prohibit the practice of “dumping” within the Community. |
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2. |
For the purposes of this Article, “dumping” shall mean the transfer of goods originating from a Member State to another Member State for them to be sold:
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Article 37
Most favoured nation treatment
1. |
Member States shall accord one another, in relation to intra-community trade, the most-favoured-nation treatment. In no case shall tariff concessions granted to a third State pursuant to an agreement with a Member State be more favourable than those applicable pursuant of this Treaty. |
2. |
The text of the agreements referred to in paragraph 1 of this Article shall be forwarded by the Member States parties thereto, through the Secretary- General, to all the other Member States for their information. |
3. |
No agreement between a Member State and a third State, under which tariff concessions are granted, shall be incompatible with the obligations arising out of this Treaty. |
Article 38
Re-export of goods and Intra-Community Transit Facilities
1. |
During the third stage, Member States shall facilitate the re-export of goods among them in accordance with the Protocol concerning the Re-export of Goods. |
2. |
Member States shall grant one another freedom of transit through their territories to goods proceeding to or coming from another Member State in accordance with the Protocol concerning Intra-Community Transit and Transit Facilities and in accordance with the provisions of any Intra- Community Agreements to be concluded. |
Article 39
Customs co-operation and administration
Member States shall, in accordance with the Protocol concerning Customs Cooperation, take all necessary measures for harmonising and standardising their customs regulations and procedures in such a manner as shall be appropriate for ensuring the effective implementation of the provisions of this Chapter and facilitating the movement of goods and services across their frontiers.
Article 40
Trade documents and procedures
For the purpose of facilitating intra-community trade in goods and services, Member States shall simplify and harmonize their trade documents and procedures in accordance with the Protocol the concerning Simplification and Harmonisation of Trade documents and Procedures.
Article 41
Diversion of trade arising from Barter or Compensatory Exchange Agreement
1. |
If, as a result of a barter or compensatory exchange agreement relating to a specific category of goods concluded between a Member State or a person of the said Member Sate, on the one hand, and a third State or person of the said third State, on the other, there is substantial diversion of trade in favour of goods imported under such agreement and to the detriment of similar goods of the same category imported from and manufactured in any other Member State, the Member State importing such goods shall take effective steps to correct the diversion. |
2. |
In order to determine whether a diversion of trade has occurred in a specific category of goods within the meaning of this Article, consideration shall be given to all the relevant trade statistics and other data available on such category of goods for the six-month period preceding a complaint from an affected Member State concerning diversion of trade, and for an average of two comparable six-month periods during the twenty-four (24) months preceding the first importation of goods under the barter agreement or compensatory exchange agreement. |
3. |
The Secretary-General shall refer the matter to the Council for consideration and submission to the Assembly for decision. |
Article 42
Trade promotion
1. |
In order to attain the objectives of the Community set out in sub-paragraph 2 (m) Article 4 of this Treaty, Member States agree to undertake the trade promotion activities stated below in the following areas:
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2. |
The modalities of organising trade promotion activities and trade information systems of the Community shall be governed by a Protocol concerning Trade Promotion. |
Chapter VI - Free movement of persons, rights of residence and establishment
Article 43
General provisions
1. |
Member States agree to adopt, individually, at bilateral or regional levels, the necessary measures, in order to achieve progressively the free movement of persons, and to ensure the enjoyment of the right of residence and the right of establishment by their nationals within the Community. |
2. |
For this purpose, Member States agree to conclude a Protocol on the Free Movement of Persons, Right of Residence and Right of Establishment. |
Chapter VII - Money, finance and payments
Article 44
Monetary, financial and payment policies
1. |
In accordance with the relevant Protocols, Member States shall, within a time-table to be determined by the Assembly, harmonize their monetary, financial and payments policies, in order to boost intra-community trade in goods and services, to further the attainment of objectives of the Community and to enhance monetary and financial co-operation among Member States. |
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2. |
To this end, Member States shall:
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Article 45
Movement of capital
1. |
Member States shall ensure the free movement of capital within the Community through the elimination of restrictions on the transfer of capital funds between Member States in accordance with a timetable to be determined by the Council. |
2. |
The capital referred to in paragraph 1 of this Article is that of Member States or persons of Member States. |
3. |
The Assembly, having regard to the development objectives of national, regional and continental plans, and upon the recommendation of the Commission and after the approval of the Council acting on the recommendation of the Commission, shall prescribe the conditions for the movement within the Community of the capital funds other than those referred to in paragraph (2) of this Article. |
4. |
For the purpose of regulating the movement of capital between Member States and Third States, the Assembly, upon the approval of the Council, acting on the recommendation of the Commission, shall take steps aimed at co-ordinating progressively the national and regional exchange control policies. |
Chapter VIII - Food and agriculture
Article 46
Agricultural development and food production
1. |
Member States shall cooperate in the development of agriculture, forestry, livestock and fisheries in order to:
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2. |
To this end, and in order to promote the integration of production structures, Member States shall cooperate in the following fields:
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Article 47
Protocol on Food and Agriculture
For purposes of this Chapter, Member States shall cooperate in accordance with the provisions of the Protocol on Food and Agriculture.
Chapter IX - Industry, science, tecnology, energy, natural resources and environment
Article 48
Industry
1. |
For the purpose of promoting industrial development of Member States and integrating their economies, Member States shall within the Community harmonize their industrialisation policies. |
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2. |
In this connection, Member States shall:
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Article 49
Industrial development
In order to create a solid basis for industrialisation and promote collective selfreliance, Member States shall:
a. |
Ensure the development of the following basic industries essential for collective self-reliance and the modernisation of priority sectors of the economy:
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b. |
Ensure the promotion of small-scale industries with a view to enhancing the generation of employment opportunities in Member States; |
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c. |
Promote intermediate industries that have strong linkages to the economy in order to increase the local component of industrial output within the Community; |
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d. |
Prepare master plans at regional and Community levels for the establishment of African multinational industries particularly those whose construction cost and volumes of production exceed national financial and absorptive capacities; |
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e. |
Strengthen and establish, where they do not exist, specialised institutions for the financing of African multinational industrial projects; |
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f. |
Facilitate the establishment of African multinational enterprises and encourage and give financial and technical support to African entrepreneurs; |
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g. |
Promote the sale and consumption of strategic industrial products manufactured in Member States; |
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h. |
Promote technical co-operation and the exchange of experience in the field of industrial technology and implement technical training programmes among Member States; |
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i. |
Strengthen the existing multinational institutions, particularly, the African Regional Centre for Technology, the African Regional Centre for Design and Manufacture and the African Industrial Development Fund; |
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j. |
Establish a data and statistical information base to serve industrial development at the regional and continental levels; |
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k. |
Promote South-South and North-South co-operation for the attainment of industrialisation objectives in Africa; |
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l. |
Promote industrial specialisation in order to enhance the complementarity of African economies and expand the intra- Community trade base, due account being taken of national and regional resource endowments; and |
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m. |
Adopt common standards and appropriate quality control systems, which are crucial to industrial co-operation and integration. |
Article 50
Protocol on Industry
For the purposes of Articles 48 and 49 of this Treaty, Member States agree to cooperate in accordance with the provisions of the Protocol on Industry.
Article 51
Science and technology
1. |
Member States shall:
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2. |
In the context of co-operation in this field, Member States shall:
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Article 52
Scientific research and technological programmes
Member States shall take all necessary measures to prepare and implement joint scientific research and technological development programmes.
Article 53
Protocol on Science and Technology
For the purposes of Articles 51 and 52 of this Treaty, Member States agree to cooperate in accordance with the provisions of the Protocol on Science and Technology.
Article 54
Energy and natural resources
1. |
Member States shall coordinate and harmonize their policies and programmes in the field of energy and natural resources. |
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2. |
To this end, they shall:
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Article 55
Energy
1. |
Member States shall cooperate in the following fields:
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2. |
They shall further:
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Article 56
Natural resources
In order to promote co-operation in the area of natural resources and energy, Member States shall:
a. |
Exchange information on the prospection, mapping, production and processing of mineral resources, as well as on the prospection, exploitation and distribution of water resources; |
b. |
Coordinate their programmes for development and utilisation of mineral and water resources; |
c. |
Promote vertical and horizontal inter-industrial relationships, which may be established among Member States in the course of developing such resources; |
d. |
Coordinate their positions in all international negotiations on raw materials; |
e. |
Develop a system of transfer of know-how and exchange of scientific, technical and economic data in remote sensing among Member States; and |
f. |
Prepare and implement joint training and further training programmes for cadres in order to develop the human resources and the appropriate local technological capabilities required for the exploration, exploitation and processing of mineral and water resources. |
Article 57
Protocol on Energy and Natural Resources
For the purposes of Articles 54, 55 and 56 of this Treaty, Member States shall cooperate in accordance with the provisions of the Protocol on Energy and Natural Resources.
Article 58
Environment
1. |
Member States undertake to promote a healthy environment. To this end, they shall adopt national, regional and continental policies, strategies and programmes and establish appropriate institutions for the protection and enhancement of the environment. |
2. |
For the purposes of this paragraph 1 of this Article, Member States shall take the necessary measures to accelerate the reform and innovation process leading to ecologically rational, economically sound and socially acceptable development policies and programmes. |
Article 59
Control of hazardous wastes
Member States undertake, individually and collectively, to take every appropriate step to ban the importation and dumping of hazardous wastes in their respective territories. They further undertake to cooperate in the transboundary movement, management and processing of such wastes produced in Africa.
Article 60
Protocol on the Environment
For the purposes of Articles 58 and 59 of this Treaty, Member States shall cooperate in accordance with the provisions of the Protocol on the Environment.
Chapter X - Transport, communication and tourism
Article 61
Transport and Communications
1. |
In order to achieve a harmonious and integrated development of the continental transport and communications network, Member States shall undertake to:
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2. |
To this end, Member States shall:
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Article 62
Community enterprises in the field of transport
1. |
Member States shall encourage the establishment of Community and African multinational enterprises in the fields of maritime, rail, road, inland waterways and air transport. |
2. |
The expression “Community and multinational enterprises” and the legal status thereof shall be as defined in the relevant Protocol. |
Article 63
Posts and telecommunications
1. |
In the field of Posts, Member States undertake to:
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2. |
In the field of Telecommunications, Member States shall:
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3. |
Member States further undertake to provide efficient and regular Post and Telecommunication services within the Community, and to develop close collaboration among Post and Telecommunications administrations. |
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4. |
In order to attain the objectives set out in this Article, Member States shall also encourage the establishment of private companies for post and telecommunications services. |
Article 64
Broadcasting
1. |
Member States undertake to:
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2. |
Member States further undertake to collect, disseminate and exchange meteorological information at the continental level, particularly with regard to the development of early warning systems for the prevention of natural disasters and for ensuring safety in aerial, coastal and inland navigation. |
Article 65
Tourism
1. |
For the purpose of ensuring the harmonious and profitable development of tourism in Africa, Member States undertake to:
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2. |
Member States shall adopt all requisite measures for the development of African tourism that takes due account of the human and natural environment and the well-being of the African peoples and which contribute effectively to the implementation of the continent's political and socioeconomic integration and development. |
Article 66
Protocol on Transport, Communication and Tourism
For the purposes of this Chapter, Member States undertake to cooperate in accordance with the provisions of the Protocol on Transport, Communications and Tourism.
Chapter XI - Standardisation and measurement systems
Article 67
Common policy on standardisation and measurement systems
1. |
Member States agree to:
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2. |
For the purposes of this Chapter, Member States agree to cooperate in accordance with the provisions of the Protocol concerning Standardisation, Quality Assurance and Measurement Systems. |
Chapter XII - Education, training and culture
Article 68
Education and training
1. |
Member States shall strengthen co-operation among themselves in the field of education and training and coordinate and harmonize their policies in this field for the purpose of training persons capable of fostering the changes necessary for enhancing social progress and the development of the Continent. |
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2. |
For the purposes of paragraph 1 of this Article, Member States undertake to:
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Article 69
Culture
Member states shall:
a. |
Pursue the objectives of the Cultural Charter for Africa; |
b. |
Promote and propagate endogenous African cultural value; |
c. |
Make every effort to preserve and recover their cultural heritage; |
d. |
Ensure that development policies adequately reflect their socio-cultural values in order to consolidate their cultural identity |
e. |
Exchange their cultural programmes and their experiences, particularly in art, literature, entertainment, sports and leisure activities; and |
f. |
Promote and develop sports programmes and activities at all levels as factors of integration. |
Article 70
Protocol on Education, Training and Culture
For the purposes of this Chapter, Member States agree to cooperate in accordance with the provisions of the Protocol on Education, Training and Culture.
Chapter XIII - Human resources, social affairs, health and population
Article 71
Human resources
1. |
Member States agree to cooperate with a view to developing, planning and utilising their human resources. |
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2. |
To this end, they undertake to:
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Article 72
Social affairs
1. |
Member States agree to ensure the full participation and rational utilisation of their human resources in their development efforts with a view to eliminating other social scourges plaguing the continent. |
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2. |
To this end they undertake to:
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Article 73
Health
1. |
Member States agree to promote and increase co-operation among themselves in the field of health. |
2. |
To this end, they shall cooperate in developing primary health care, promoting medical research, particularly in the field of African traditional medicine and pharmacopoeia. |
Article 74
Population and development
1. |
Member States undertake to adopt, individually and collectively, national population policies and mechanisms and take all necessary measures in order to ensure a balance between population growth and socio-economic development. |
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2. |
To this end, Member States agree to:
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Article 75
Women and development
1. |
Member States agree to formulate, harmonize, coordinate and establish appropriate policies and mechanisms for the full development of the African woman through the improvement of her economic, social and cultural conditions. |
2. |
To this end, Member States shall take all measures necessary to ensure greater integration of women in development activities within the Community. |
Article 76
Protocols on Human Resources, Social Affairs, Health and Population
For the purposes of this Chapter, Member States undertake to cooperate in accordance with the provisions of the Protocols on Human Resources, Social Affairs, Health and Population.
Chapter XIV - Co-operation in other fields
Articles 77
Harmonisation of policies in other fields Subject to the provisions of this Treaty, Member States agree to consult with one another, through appropriate Community organs, for the purpose of harmonising their respective policies in other fields for the efficient functioning and development of the Community and for the implementation of the provisions of this Treaty.
Chapter XV - Special provisions in respect of certain countries
Article 78
Special provisions in respect of Botswana, Lesotho, Namibia and Swaziland
1. |
Member States, recognising the exceptional situation of Botswana, Lesotho, Namibia and Swaziland within the Community and their membership in the Southern Africa Customs Union, agree to grant them temporary exemption from the full application of certain provisions of this Treaty. |
2. |
For this purpose, Member States shall adopt a Protocol on the Exceptional Situation of Botswana, Lesotho, Namibia and Swaziland. |
Article 79
Special provisions in respect of the Least Developed, Landlocked, Semi-Landlocked and Island countries
1. |
Member States, taking into consideration the special economic and social difficulties that may arise in certain Member States and especially the least developed, land- locked, semi4and-locked and island countries, shall grant them, where appropriate, special treatment in respect of the application of certain provisions of this Treaty, and shall accord them any other assistance that they may need. |
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2. |
The special treatment and assistance referred to in paragraph 1 of this Article may consist, inter alia of:
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3. |
For purposes of this Chapter, Member States agree to adopt a protocol on the situation of the least developed, land-locked, semi-land-locked and island countries. |
Chapter XVI - Solidarity, Development and Compensation Fund
Article 80
Establishment
A Solidarity, Development and Compensation Fund of the Community is hereby established.
Article 81
Objectives and Statutes of the Fund
1. |
The Statutes of the Fund shall be established by the Assembly in a Protocol relating thereto. |
2. |
The Statutes shall determine, inter alia, the objectives, the authorised capital stock, resources of the Fund, contributions of Member States, the currencies in which contributions shall be paid, the functioning, organisation and management of the Fund and any other related matters. |
Chapter XVII - Financial provisions
Article 82
Regular budget of the Community
1. |
The annual regular budget of the Community, which constitutes an integral part of the OAU regular budget, shall be prepared by the Secretary-General and approved by the Assembly upon the recommendation of the Council. |
2. |
The budget shall be funded by contributions made by Member States in accordance with the scale of assessment of the OAU. Upon the recommendation of the Council, the Assembly shall determine the conditions under which the financial contributions of Member States may be supplemented or, where necessary replaced by the proper resources of the Community. |
Article 83
Special budgets
Special budgets shall be made available, where necessary, to meet the extrabudgetary expenditure of the Community. The Assembly shall determine the contributions of Member States to special budgets of the Community.
Article 84
Sanctions relating to non-payment of contributions
1. |
Upon the decision of the Assembly, any Member State of the Community having arrears in the payment of its contribution to the budget of the Community, shall not have the right to vote or participate in taking decisions of the Community if the amount of its arrears is equal to, or is in excess of the contribution payable by such State for the last preceding two financial years. Such Member State shall cease to enjoy other benefits arising by virtue of this Treaty as well as the right to address meetings. In addition, it shall lose the right to present candidates for vacant posts within the Community and shall not be eligible for office in the deliberative organs of the Community. The Assembly may, where necessary, impose other sanctions on a Member State for non-payment of contributions. |
2. |
Notwithstanding the provisions of paragraph 1 of this Article, the Assembly may suspend the application of the provisions of the said paragraph if it is satisfied, on the basis of a satisfactory explanatory report by the Member State through the Secretary-General, that the non-payment of contributions is due to causes and circumstances beyond the control of the said Member State. |
3. |
The Assembly shall decide on the modalities for the application of this Article. |
Article 85
Financial Rules and Regulations
The Financial Rules and Regulations of the OAU shall govern the application of the provisions of this Chapter.
Article 86
Board of External Auditors
The selection procedure, terms of appointment, and duties and responsibilities of the Board of External Auditors shall be defined in the financial rules and regulations.
Chapter XVIII - Setlement of disputes
Article 87
Procedure for the settlement of disputes
1. |
Any dispute regarding the interpretation of the application of the provisions of this Treaty shall be amicably settled through direct agreement by the parties to the dispute. If the parties concerned fail to settle such dispute, either party may, within a period of twelve (12) months, refer the matter to the Court of Justice. |
2. |
The decisions of the Court of Justice shall be final and shall not be subject to appeal. |
Chapter XIX - Relations between the Community and regional economic communities, regional continental organisations and other socio-economic organisations and associations
Article 88
Relations between the Community and regional economic communities
1. |
The Community shall be established mainly through the co-ordination, harmonisation and progressive integration of the activities of regional economic communities. |
2. |
Member States undertake to promote the co-ordination and harmonisation of the integration activities of regional economic communities of which they are members with the activities of the Community, it being understood that the establishment of the latter is the final objective towards which the activities of existing and future regional economic communities shall be geared. |
3. |
To this end, the Community shall be entrusted with the co-ordination, harmonisation and evaluation of the activities of existing and future regional economic communities. |
4. |
Member States undertake, through their respective regional economic communities, to coordinate and harmonize the activities of their sub-regional organisations, with a view to rationalising the integration process at the level of each region. |
Article 89
Relations between the Community and African continental organisations
The Community shall closely cooperate with African continental organisations including, in particular, the African development Bank and African Centre for Monetary Studies in order to ensure the attainment of regional and continental integration objectives. It may conclude co-operation agreements with these Organisations.
Article 90
Relations between the Community and African Non-Governmental organisations
1. |
The Community, in the context of mobilising the human and material resources of Africa, shall establish relations of co-operation with African Non-Governmental organisations, with a view to encouraging the involvement of the African peoples in the process of economic integration and mobilising their technical, material and financial support. |
2. |
To this end, the Community shall set up a mechanism for consultation with such Non-Governmental organisations. |
Article 91
Relations between the Community and socio-economic organisations and associations
1. |
The Community, in the context of mobilising the various actors of socioeconomic life, shall establish relations of co-operation with socio-economic organisations and associations including mainly, producers, transport operators, workers, employers, youth, women, artisans and other professional organisations and associations with a view to ensuring their involvement in the integration process of Africa. |
2. |
To this end, the Community shall set up a mechanism for consultation with such socio-economic organisations and associations. |
Chapter XX - Relations between the Community, Third States and international organisations
Article 92
Co-operation Agreements
1. |
The Community may conclude co-operation agreements with third States. |
2. |
In the pursuit of its objectives, the Community shall ensure the establishment of relations of co-operation with the United Nations System, particularly, the United Nations Economic Commission for Africa, specialised agencies of the United Nations and any other international organisation, with a view to attaining the objectives of the Community. |
3. |
Co-operation Agreements to be concluded pursuant to the provisions of Paragraphs 1 and 2 of this Article shall be submitted to the Assembly for approval upon the recommendation of the Council. |
Chapter XXI - Relations between Member States, Third States, regional and sub-regional organisations and international organisations
Article 93
Agreements concluded by Member States
1. |
Member States may conclude economic, technical or cultural agreements with one or several Member States, and with Third States, regional and subregional organisations or any other international organisation, provided that such agreements are not incompatible with the provisions of this Treaty. They shall transmit such agreements to the Secretary-General who shall inform the Council thereof. |
2. |
In the event of incompatibility of agreements concluded, prior to the entry into force of this Treaty among Member States or between the Member States and Third States, sub-regional or regional organisations or any other international organisation, with the provisions of this Treaty, the Member State or Member States concerned shall take the appropriate steps to eliminate such incompatibility. To this end, Member States shall, where necessary, assist each other and adopt a common position. |
Article 94
International negotiations
1. |
Member States undertake to formulate and adopt common positions within the Community on issues relating to international negotiations in order to promote and safeguard the interests of Africa. |
2. |
To this end, the Community shall prepare studies and reports designed to help Member States to better harmonize their positions on the said issues. |
Article 95
Protocols on Chapters XIX, XX and XXI
Member States hereby agree to conclude the Protocols relating to Chapters XIX, XX and XXI of this Treaty.
Chapter XXII - Miscellaneous provisions
Article 96
Headquarters of the Community
The Headquarters of the Community shall be one and the same as that of the OAU.
Article 97
Working languages
The working languages of the Community shall be the same as those of the OAU.
Article 98
Legal status
1. |
The Community shall form an integral part of the OAU. |
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2. |
In his capacity as the legal representative of the Community the Secretary- General may, on behalf of the Community:
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3. |
Subject to prior approval of the Council, the Secretary-General may, on behalf of the Community:
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Article 99
The Treaty and the Protocols
This Treaty and the Protocols shall form an integral part of the OAU Charter.
Article 100
Signature and ratification
This Treaty, and the Protocols, shall be signed and ratified by the High Contracting Parties in accordance with their respective constitutional procedures. The instruments of ratification shall be deposited with the Secretary- General of the OAU.
Article 101
Entry into force
This Treaty shall enter into force thirty (30) days after the deposit of the Instruments of ratification by two-thirds of the Member States of the OAU.
Article 102
Accession and admission
1. |
Any Member State of the OAU may notify the Secretary-General of its intention to accede to this Treaty. |
2. |
The Secretary-General shall, upon receipt of such notification, transmit copies thereof to all Member States. Admission shall be decided by a simple majority of Member States which shall transmit their votes to the Secretary- General. Upon receipt of the required number of votes, the Secretary- General shall transmit the decision of admission to the concerned Member State. |
Article 103
Amendment and revision of the Treaty
1. |
Any Member State may submit proposals for the amendment or revision of this Treaty. |
2. |
Proposals for amendment or revision shall be submitted to the Secretary- General who shall transmit the same to Member States within thirty (30) days of receipt thereof at the Headquarters of the Community. |
3. |
The Assembly, upon the advice of the Council, shall examine these proposals at its next meeting within a period of one year, following notification of Member States in accordance with the provisions of paragraph 2 of this Article. |
4. |
Amendments or revisions shall be adopted by the Assembly by consensus or, failing that, by a two-thirds majority and submitted for ratification by all Member States in accordance with their respective constitutional procedures. They shall enter into force thirty (30) days after the deposit of the instruments of ratification by two-thirds of the Member States with the Secretary-General of the OAU. |
Article 104
Withdrawal
1. |
Any Member State wishing to withdraw from the Community shall notify by giving one-year notice in writing, to the Secretary-General who shall inform Member States thereof. Upon the expiration of such a period, that Member State shall, if the notice is not withdrawn, cease to be a Member of the Community. |
2. |
During the period of one year referred to in paragraph 1 of this Article, any Member State wishing to withdraw from the Community shall comply with the provisions of this Treaty and shall be bound to discharge its obligations under this Treaty up to the date of its withdrawal. |
Article 105
Dissolution
The Assembly may decide to dissolve the Community and determine the terms and conditions for sharing of the latter's assets and liabilities.
Article 106
Depositary of the Treaty
1. |
This Treaty, drawn up in four (4) original texts in the Arabic, English, French and Portuguese languages, all four (4) texts being equally authentic, shall be deposited with the Secretary-General of the OAU who shall transmit a certified true copy thereof to the Government of each signatory State. |
2. |
The Secretary-General shall notify Member States of the dates of deposit of the instruments of ratification or accession and shall upon the entry into force of this Treaty register the same with the Secretariat of the United Nations. |
In witness whereof, we, Heads of State and Government of Member States of the Organisation of African Unity have signed this Treaty.
Done at Abuja, Nigeria on the Third of June Nineteen Hundred and Ninety One.
[*] |
This Treaty is also known as Abuja Treaty. |