The cost of air travel, text messages and hotel accommodation in Africa could go up if proposals by the African Union to raise additional funds are adopted.

In their next summit scheduled for Malabo, Equatorial Guinea from June 20 – 27, African Heads of State are expected to make a decision on alternative funding methods as suggested by the AU Council of Ministers, to support the continental body’s growing budget.

Proposals approved by the ministers during their January retreat include a $5 levy on air tickets originating from or coming into Africa, a $2 levy on member states’ hospitality sectors, 0.1 per cent levy per text message sent from Africa, and a 0.5 per cent levy on countries’ budgets.

“The main challenge facing the AU is its overdependence on donors and development partners,” said Selemani Kinyunyu, a programme lawyer at the Pan African Lawyers Union.

“The proposed alternative funding will bring about economic independence and get the continent out of the current situation where donors stipulate which programmes of the Union they will support.”  

Currently, the AU depends on statutory contributions by member states and donors to fund its activities. Its 2014 budget is $395 million, of which member states are expected to contribute $138 million, while the proposed 2015 budget is $390 million. 

According to the AU’s budget report as at the end of September 2013, only 19 countries had paid up. Arrears stood at $50.3 million, of which $15.3 million was carried over from 2012.

The major contributors, who account for 66 per cent of the AU’s total budget are: Algeria, Egypt (currently suspended), Libya, Nigeria and South Africa. The remaining 48 contribute 34 per cent.

“The implication of the heavy dependence on a few countries is that a failure by any one of them to honour their commitments could mean serious financial trouble for the Union,” said Mr Kinyunyu.