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Africa

The ECO in West Africa:

How to maintain the CFA franc?

T he CFA franc: A relic of colonialism? states. requirement that the countries that use
keep 50 percent of their foreign currency
Togolese rapper Elom Vince, also known
When last year, a bloc of West
African states announced steps to move as Elom 20ce, one of the initiators of the reserves in the French treasury. This
away from a French-backed regional project, said then: The message of the requirement, will be scrapped when it
currency that dates back to the colonial song is simple: “The CFA franc will die becomes the Eco. This is according to
era, many would have thought, this was and we will dance at its funeral.” the agreement signed between France
a policy pronouncement borne out of At a joint news conference in Abidjan, and the eight countries. Also to be
visionary leadership, pragmatism and Senegal, president of Alassane Ouattara dropped is the requirement that a French
economic prudence; however, behind of Ivory Coast, with his French representative sit on the currency union’s
this steps is a rich background of counterpart, Emmanuel Macron, board.
youthful activism and unsung heroes. announced in December 2019, that the Since its creation in 1945, the currency
In August, 2017, a 35-year-old Beninese, bloc would be changing the name of the was seen as an insult to the sovereignty
Kemi Seba, burnt a 5,000 CFA banknote C.F.A. franc, used in eight West African of the African countries, according to
(around 7.6 euros or $9.10) in Dakar, countries, and renaming it the Eco. numerous experts. That this currency
the headquarters of the Central Bank “This is a historic day for West Africa,” has survived for almost 60 years is a
of West African States (BCEAO). Mr. Ouattara said in the Ivorian capital, huge indictment on African leadership.
The activist was arrested and charged Abidjan. The massive 50% devaluation carried out
over the incident. Abolishing the C.F.A. franc has long been by France in 1994 gave further credence
“I burned the bill to attract public demanded of activists across the region. to the perceptions, leading to increased
attention,” he said during his hearing Demonstrations against the currency by intensity of criticisms. What however
in court. “Not for lack of respect.” It is opponents, who see it as undermining torched off the embers of change was
his actions that reignited an old debate African countries’ sovereignty, have a report entitled “Africa’s monetary
over the region’s currency leading to the been voiced across the region— Senegal, servitude”, Le Monde Diplomatique
change the region is about to see. Seba Cameroon, Togo and even France itself. that concluded that “10 out of the 14
who was later acquitted by the court, countries in the FCFA zone come under
was then expelled by the Senegalese C.F.A. stood for the French Colonies the category of the least developed
government and is now living in France. of Africa when it was introduced as a countries (PMA) and that, nearly 90% of
7 minutes contre le CFA” (“7 minutes currency by the then-colonial power their population lived on less than two
in 1945, though it was changed to the
dollars per day.
against the CFA franc”) -is the title Financial Community of Africa after
of a rap song released in 2018 in independence in 1960. For a long time, The devaluation of the franc in 1994,
the Senegalese capital, Dakar by ten it was criticized by many as a relic of bankrupted countries under the CFA,
musicians from seven African countries “Françafrique,” the unofficial system whose economies were already fragile,
aimed at mobilizing public opposition under which France exerted influence causing a wave of price increases, labor
to the common currency of a total of 14 over its former colonies in sub-Saharan disputes, demonstrations and violent
countries in West and Central Africa. Africa long after independence. clashes across West Africa.
Their main criticism: the currency is a The devolution of the CFA franc by 50
remnant of the French colonial era and The criticism of the CFA, to a large percent meant that as of January 1994,
is an affront to the sovereignty of African extent has been centered around the 100 CFA francs equaled 1 French franc,

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