₦airaland Forum

BREAKING NEWS:
In a joint press conference with President Macron of France, President Ouattara of Ivory Coast has announced that 8 African Countries will no longer use the CFA currency.
It will be replaced by the ECO.
No longer will 50% of the reserves be held by French treasury

The Currency will still be pegged against the Euro it seems, more details still coming in.
Apparently France’s representatives at Central Bank of West African States/ Banque Centrale des États de l'Afrique de l'Ouest, are to leave.

Modified

The CFA franc received its coup de grace Saturday, December 21, a few days before the sixtieth anniversary of independence. Emmanuel Macron and Alassane Ouattara announced in Abidjan the disappearance of the Franc from the Financial Community in Africa. He was born in 1945 under the name of Franc of the French colonies of Africa. Another time.

“It was by hearing your youth that I wanted to initiate this reform. The CFA Franc crystallizes many criticisms of France. I see your youth which criticizes us for a relationship which it considers post-colonial. So let's break the moorings, " said Emmanuel Macron, signifying that he had been the initiator of this" historic "advance. At his side, the Ivorian head of state, Alassane Ouattara, wanted to clarify that "it is a decision taken in full sovereignty".


Disowned by a growing part of the opinions of the continent who saw in him one of the last slag of Françafrique, the political cost of this currency became too heavy for the French head of state who, since his arrival at the Elysee displays the will to build a new postcolonial relationship with African countries.

The "CFA" is dead. It must be replaced by 2020 by a new currency: the Eco. The change should currently concern only the eight countries of the West African Economic and Monetary Union (WAEMU): Benin, Burkina Faso, Côte d'Ivoire, Guinea-Bissau, Mali , Niger, Senegal and Togo. Central Africa remaining for the time being kept aside.

If this change of name can in certain respects seem to play mainly symbolic, the transformation does not stop there. It is accompanied by two important technical reforms which should calm critics. First, the operating account at the Banque de France is deleted, and moreover the French representatives sitting on the bodies of the Central Bank of West African States (BCEAO) will be withdrawn.


According to the monetary agreements so far in force, the WAEMU States have the obligation to store at least 50% of their foreign exchange reserves at the Banque de France in return for a convertibility guarantee with the Euro. In 2015, they transferred 19 billion euros to this account. "It fueled all the fantasies about African gold bars kept in coffers in Paris," said the entourage of the French president.

That said, despite the disappearance of the CFA, some of its fundamentals will remain since the Eco will maintain a fixed parity with the Euro and its convertibility guarantee will still be provided by the Banque de France.

Negotiations since June
From a good source, negotiations to achieve this reform had started in June with the greatest confidentiality between MM. Macron and Ouattara, President-in-Office of WAEMU. "They agreed that there was a window of opportunity before the election year in Côte d'Ivoire", adds the French source previously cited. In recent days, when the idea of ​​a major development on this currency was rumored, Ivorian and French leaders remained silent, engaging in a consummate art of the tongue of wood. While voices ranging from African heads of state such as the Chadian Idriss Déby or the Beninese Patrice Talon to polemists like Kemi Seba called for a global challenge, Alassane Ouattara has always been reserved on a major reform, considering that the "CFA" pegged to the Euro was the guarantee of controlled inflation.

“The acceleration of the dynamics of monetary integration in West Africa to acquire a single currency in 2020 was decisive for achieving this progress. Only, the operating account in Paris and the French presence in the banking authorities were a foil for the English-speaking countries of the Economic Community of West African States (ECOWAS) " comments a source at the Elysee. Ghana is clearly on target. Nigeria, on the other hand, looks like a terrifying ogre for the fourteen other member states of the zone, since this giant of the region alone accounts for 60% of ECOWAS GDP. The idea developed by Paris and Abidjan is that French-speaking countries, members of UEMOA, be“The foundation of this monetary integration on which the anglophone and lusophone countries of the region can be grafted. "

Defender of the CFA, considering that it penalizes the industrialization and the exports of African economies, the economist Carlos Lopes judges that “the change occurred is the fruit of a welcome political opportunism. It does not correspond to the initial idea of ​​a regional single currency but it is the best way to evolve. "

https://www.lemonde.fr/afrique/article/2019/12/21/la-mort-du-franc-cfa-annoncee-par-emmanuel-macron-et-alassane-ouattara_6023752_3212.html?utm_campaign=Lehuit&utm_medium=Social&utm_source=Twitter

Lalasticlala, Mynd44

The colonialists are losing their control.

Let's watch and see the real colour of France as things unfold.

This is NOT good for Nigeria.

France is playing a serious game here. Who ever prints those pieces of papers holds the database. Nigeria should have taken initiatve to handle the server of ECO and generate notes and prosper the Region.

Why would France, a non African Entity dictate and handle our treasury?

We must reject the ECO

Blindersoff:
The colonialists are losing their control.

They are not losing control. They want to hold the treasury entire of West Africa now.

Its a clever trick.

We cant allow France to interfere with ECO.

if this is true, by European standards, Emmanuel Macron is an idiot. But a hero by African standards.

Franco-phone Africa has been held financially by France and should peg their independence to 2020 instead of 1957. They've been paying France for expenses France incurred due colonisation processes. I started seeing them as oppressed idiots afterwards.

Happy independence to Francophone Africans.

PS: Nigeria and Ghana (and Ivory Coast if they are intelligent) need to stay the heck away from the Eco currency if it has any iota of European influence.

France is just milking those nations.

Vortex369:
This is NOT good for Nigeria.

France is playing a serious game here. Who ever prints those pieces of papers holds the database. Nigeria should have taken initiatve to handle the server of ECO and generate notes and prosper the Region.

Why would France, a non African Entity dictate and handle our treasury?

We must reject the ECO

You got it. The real trap thing people are missing is this :
Macron the French president is celebrating Christmas with French troops at the French military base in Abidjan.
This is to tell you , this Ouattara guy is on a mission to help France grab all West African finances and put them under French control. It is the biggest hold up of the 21st century. Having control over Nigeria's financial power is way more profitable than keeping the CFA Franc.

this guys want to play a very smart one on us!

who gave the stupid ivory coast the right to decide who keeps the server base of ECO?

as the thing don turn to game when e never even take off, NIGERIA SHOULD REJECT THE CURRENCY!

PERIOD!


THEM THINK SAY THEM GET SENSE!







IVORY COAST SHOULD COME AND PAY THE NEPA BILL THEY ARE OWING US!

AND WE WANT THE PAYMENT IN DOLLARS FOR NOW - THOU WE WILL ALSO ACCEPT PAYMENTS IN GOLD BUT WE ARE NOT TAKING CFA NOR ECO FOR NOW!