While the reform of the WAEMU CFA franc should mark a break with the past, it is clear that the guarantee agreement confirms the guardianship of France. The guarantee agreement between the central bank of the sub-region (BCEAO) and the French government has been signed since the end of December 2020. Contrary to the idea announced, the guarantee agreement, fundamental in the reform of the FCFA, retains a strategic position within the WAEMU economies.
This document, which is nevertheless the key to the monetary cooperation reform of December 21, 2019 (Articles 2 and 10), was finalized with great discretion. African parliaments and civil society are not involved in the process.
In the agreement, France obtained to be informed “regularly” of the financial transactions of the sub-region with the exterior. If France were to exercise its guarantee, it would be invoiced to WAEMU. Thus the sub-region, in addition to making its strategic information freely available to France, would give it a check, if necessary.
Finally, the guarantee agreement provides that, if it is activated, the WAEMU countries must from that moment deposit 80% (article 7) of all payments in foreign currencies that they will receive. Before the reform, this requirement was 50% and deposits of these currencies in the operations account were remunerated.