CFA Franc Zone

CFA Franc Zone

A collective term for the countries that use either the Central African CFA franc or the West African CFA franc, which are both guaranteed by the French government. The CFA franc zone consists of Cameroon, the Central African Republic, Chad, the Republic of the Congo, Equatorial Guinea, and Gabon (for the Central African franc), and Benin, Burkina Faso, Cote d'Ivoire, Guinea-Bissau, Mali, Niger, Senegal and Togo (for the West African franc).
References in periodicals archive ?
According to Reuters, the heads of state of central Africa's CFA franc zone are to audit their central bank's investments with France-based Societe Generale (SOGN.
A: The CFA franc zone has engendered a long-running debate which continues to raise new arguments among economists.
A) The CFA franc Zone currently consists of two separate groups of sub-Saharan African countries.
Principal African currencies such as those of the 14-member CFA franc zone, the Rand Monetary bloc comprising South Africa, Lesotho, Namibia and Swaziland and the Maghreb currencies of Algeria, Morocco and Tunisia, have all enjoyed a sustained period of exchange rate stability.
France planted the roots of the CFA franc zone in 1945.
Against this background, and in consultation with other members of the CFA franc zone facing similar problems, the government decided to broaden its strategy of economic adjustment by devaluing the CFA franc effective Jan.
Madagascar has a tradition of wanting to emphasise its independence from former colonial ties and originally left the CFA franc zone in 1973.
Recognizing that it could not rely solely on internal adjustment to restore competitiveness, diversify the economy, and improve productivity, the government joined the other members of the CFA franc zone in broadening its adjustment strategy to include a devaluation of the CFA franc by 50 percent, effective January 12, 1994.
This will be preceded by a single monetary zone from January 2003, which in turn will merge with the seven CFA franc zone members: Benin, Burkina Faso, Cote d'Ivoire, Mali, Niger, Senegal and Togo.
Against this background, Benin joined other member countries of the CFA franc zone in strengthening its adjustment strategy through a devaluation of the CFA franc against the French franc with effect from January 12, 1994.
He suggested something that would have certainly made Professor Haan glow with joy: "Minting an independent African currency, initially restricted to the 15 member-countries of the CFA franc zone but [later open] to other regions and countries of Africa.