Countries with the CFA Franc (BEAC + BCEAO) (original) (raw)

Differences between BCEAO and BEAC

In their full length, the two currencies are called "CFA-Franc BCEAO" and "CFA-Franc BEAC". Both have the same exchange rates and can therefore be converted 1:1. However, they are valid in different countries and are issued by different banks.

The CFA franc BCEAO is the currency of the West African Economic and Monetary Union UEMOA. It is issued by the West African Central Bank in Senegal. Here, the letters CFA stand for the French designation "Communauté Financière d'Afrique." All countries of the UEMOA are also equal members of the economic community ECOWAS.

The CFA franc BEAC, on the other hand, is valid in the countries of the neighboring Central African Economic and Monetary Community CEMAC. It is issued by the Banque Centrale des États d'Afrique Centrale based in Cameroon. Here, the 3 letters stand for "Coopération Financière en Afrique Centrale".

So, in fact, they are 2 different currencies. In practice, however, there is not much difference, as they both have the same value. 1 franc of one currency is equal to 1 franc of the other. The abbreviations BCEAO and BEAC merely stand for the issuing central banks.

CEMAC-Mitglieder mit dem CFA-Franc BEAC

UEMOA- und ECOWAS-Mitglieder mit dem CFA-Franc BCEAO

ECOWAS-Mitglieder ohne CFA-Franc

Historical exchange rates

Originally, the CFA franc was introduced in 1945 in all 14 French colonies at that time. Even then, the exchange rate was firmly pegged to the French franc. 1 CFA franc was equivalent to 1.70 French francs. In 1948 and 1958, there was a devaluation in France, but the African colonies did not follow suit. Thus, the conversion rate of the CFA franc against the French franc changed, but not its value. In 1994, there was a currency reform in the African countries, which led to a halving of the value. Since the introduction of the euro, the CFA franc has remained stable at 1€ to 655.957 CFA francs.

Introduction of the ECO from 2027

The Economic Community of West African States (ECOWAS) plans to replace the CFA franc BCEAO with the new currency "ECO" from January 1, 2027. To this end, a West African Monetary Zone (WAMZ) is planned that will include the Gambia, Ghana, Guinea, Cape Verde, Liberia, Nigeria, and Sierra Leone in addition to the current 8 BCEAO countries. The BEAC countries will not be part of the eco-currency zone. However, the plans have been postponed several times in the past. Originally, the new currency was to be in place by 2005 and later from 2020. The background to the delays is that the current BCEAO countries see no need to change the currency because of the existing circulation and acceptance of the CFA franc.

All conversion rates are based on data from the European Central Bank.