The Ivorian National Assembly this week adopted the cooperation agreement with France for the implementation of eco, the future West African currency. But the provisions of this currency that will replace the CFA franc continue to be discussed. In particular, on its firm parity with the euro guaranteed by France.
as reported from Abidjan,Sidy Yansane
102 votes in favor, 12 against and 48 abstentions: it was with an overwhelming majority of the deputies present that Côte d’Ivoire launched the reform of the CFA franc, ahead of the other states of the West African Monetary Union.
The agreement was signed at the end of December 2019 in Abidjan, during a visit by French President Emmanuel Macron, and law projectratified by the Council of Ministers of France on 20 May 2020. However, there are still debates in Côte d’Ivoire about the methods of its implementation.
For RHDP’s deputy Famoussa Coulibaly, who heads the Commission responsible for examining the bill ratifying the cooperation agreement with France, the reform will mark the end of France’s presence in West African monetary authorities. According to the elected official, the former colonial power must follow the states of the sub-region in this transitional phase, which must lead to the launch of the eco-currency throughout the territory of the Community of West African States (ECOWAS) in 2027.
It is precisely on the role of France that opponents of this reform wonder. Jean-Gervais Tchéidé, EDS deputy close to Laurent Gbagbo, particularly condemns the economy’s parity with the euro guaranteed by the French state.
“First of all, the euro is a strong currency. And when you have parity with a strong currency, specialists say that this – in the long run – penalizes your exports, so the external balance will inevitably be in deficit. Secondly, the agreement provides that “reserves the right to return to control if, by chance, a crisis arises on the horizon”, which corresponds to the same thing. “
The law must now be passed in the Senate, before it is announced by President Alassane Ouattara.
►To listen again: The CFA franc becomes eco: “France only responds to a demand”