The Alliance of Sahel States (AES), comprising Mali, Niger, and Burkina Faso, has introduced a new import tax to help fund its operations. This "Confederal Levy" (PC-AES) will apply a 0.5% charge on goods entering the bloc from outside countries. The decision, made by the AES heads of state on March 28, 2025, is part of a broader push for financial independence.
According to a March 29 statement from Mali’s Foreign Ministry, the tax will be collected by customs authorities in each country and deposited into a special AES account. Some goods will be exempt, including products from within the bloc, humanitarian aid, and diplomatic shipments. To ensure transparency, the funds will be subject to annual audits and financial reports.
The tax takes effect immediately, and any disputes will be handled through diplomatic channels. However, the AES leaders may revise the rate in the future if necessary, the statement noted.
This measure comes as Mali, Burkina Faso, and Niger navigate new trade dynamics following their exit from the Economic Community of West African States (ECOWAS) in January 2025. Despite their departure, they continue to benefit from some ECOWAS trade advantages, such as the free movement of goods and people, as they negotiate the terms of their separation. The AES has also decided to maintain certain regional integration policies, allowing ECOWAS citizens to enter freely.
Nevertheless, the three countries remain heavily dependent on trade with the West African Economic and Monetary Union (WAEMU) and ECOWAS. Key imports from these regions include food products, petroleum, industrial equipment, and consumer goods.
In late 2024, ECOWAS accounted for 22.6% of Mali’s imports, while WAEMU made up 21.8%. In Burkina Faso, these figures stood at 31.3% and 22.4%, respectively, in the third quarter. Niger, on the other hand, saw a sharp decline in trade due to ECOWAS and WAEMU sanctions following the July 26, 2023, coup, dealing a major blow to its economy and businesses.
The new AES tax marks another step toward financial self-sufficiency while strengthening economic ties among its members. However, its impact on regional trade will become clearer in the coming months.
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