A bank teller counts new West African CFA Franc banknotes plus old-style 500 CFA notes and old-style 10,000 CFA notes, top-left, Dakar, Senegal, Sep. 13, 2004. -
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BEN CURTIS/AP2004
Last updated: 5 hours ago
Guinea
Guinea says it’s opting out of the ECOWAS single currency.
The 12 member West African economic bloc is set to launch the monetary union and eco currency in July 2027.
Last month ECOWAS said it was leaning towards a phased rollout, with countries meeting convergence criteria such as inflation, debt, and monetary stability joining first.
Guinea is the first member state to announce it will retain its national currency, the Guinean franc.
Analysts say the decision is likely due to fears that joining the monetary union before developing sufficient production capacity could stifle its economy.
The country’s major trade partners also lie outside West Africa, with 80 percent of its exports going to Asia. By tying its currency to neighbouring states, Conakry risks losing certain levers of influence, economist Mohamed Camara told RFI.
The bloc is set to meet again in December to resolve outstanding issues, particularly around the future central bank, decision-making rules, and which countries will adopt the eco first.
