Calls for reform of an African currency bloc, which has its roots in French colonial rule, could prove disruptive for foreign investors, analysts have suggested.
The CFA franc, a key pillar of French influence in its former colonies, encompasses 14 West and Central African nations, and has faced calls for a fundamental overhaul from African leaders. French President Emmanuel Macron has also publicly signaled his willingness to engage in "meaningful" reform.
While an important source of financial stability, the CFA franc is politically sensitive owing to the power it exerts over countries which have now been independent from France for over half a century. If the guarantee was to be scrapped, the franc's fixed exchange rate of 655.96 CFA to the euro would be in question, increasing exchange risk uncertainty for investors, importers and exporters.In November, Beninese leader Patrice Talon said the eight West African Monetary Union states which use the CFA franc planned to pull their reserves from the Bank of France, telling French media that there was a "psychological problem" with the currency.
Deutschland Neuesten Nachrichten, Deutschland Schlagzeilen
Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.
The 14 Best Beauty Products of 2019The CBD products we think actually worked, the liquid eyeliner that we haven’t been able to stop using, the hair tool that one editor’s mom can’t get over, and more
Weiterlesen »
Girl, 14, Beats Aggressive Stage 4 Cancer Just Before Christmas After 18-Month BattleChloe Cress was diagnosed with a massive tumor near her heart last year
Weiterlesen »
14 Blazers You Need to Shop Right NowEhem. These require your immediate attention.
Weiterlesen »
14 Best Vegan and Vegetarian Protein SourcesHere are fourteen examples of meat- and dairy-free protein options for vegans and vegetarians.
Weiterlesen »
Simi Valley coach arrested on suspicion of sexual acts with 14-year-old boyA Simi Valley assistant football coach was arrested this week on suspicion of engaging in sexual acts with a 14-year-old male student and setting up a fake social media profile to solicit pornographic selfies from children.
Weiterlesen »