By RFIPalled on 14-07-2019Modified on 14-07-2019 at 00:07

The future currency common to the space Cedeao, it was discussed Friday, July 12 in Abidjan, at the summit of the member states of UEMOA, that is to say the franc zone. According to the Ivorian President, Alassane Ouattara, next year the CFA franc could be renamed "eco", which will also be the name of the future currency of ECOWAS. The Ivorian president also called for maintaining a fixed exchange rate with the euro. A point that makes debate

Alassane Ouattara's remarks prove that the debate between the fixed exchange rate and the flexible exchange rate for the future common currency of ECOWAS has not yet been settled. Alassane Ouattara is convinced that the fixed exchange rate between the euro and the CFA has proved its worth by protecting, over time, the WAEMU zone and consequently the consumers, from inflation. " It has to be maintained, " he pleads.

However, at the last ECOWAS summit in Abuja , at the end of June, the Heads of State wrote, in words, that the "eco", the future currency of ECOWAS , will have a flexible exchange rate vis- against a basket of currencies.

In appearance, then, there is a contradiction. In fact, it is certain that this future common currency will start next year with those countries that are ready, ie those that best meet the convergence criteria. It turns out that the CFA zone converges best. So, we will start with UEMOA and we could - if the heads of state decide - see the CFA renamed "eco", waiting to expand to the other countries of ECOWAS, in a second time.

Alassane Ouattara plans to take advantage of the advantage that precursors will then have to advocate for a fixed exchange rate. It is a balance of power between the UEMOA and the ECOWAS that emerges. It remains to be seen what the Nigerians will think, essential in the monetary issues of West Africa.

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