“The Council of Ministers of the West African Economic and Monetary Union (UEMOA) held its first ordinary session for the year 2023 on March 31, 2023, at the premises of the Headquarters of the Central Bank of African States. de l’Ouest (BCEAO) in Dakar, Senegal, under the chairmanship of Mr. Adama COULIBALY, Minister of Economy and Finance of the Republic of Côte d’Ivoire, its current Chairman.
Also taking part in the meeting, Mr. Abdoulaye DIOP, President of the UEMOA Commission, Mr. Jean-Claude Kassi BROU, Governor of the BCEAO, Mr. Serge EKUE, President of the West African Development Bank (BOAD) and Mr. Badanam PATOKI, Chairman of the Financial Markets Authority of the West African Monetary Union (AMF-UMOA).
At the end of the discussions, the following conclusions and recommendations were approved by the Council of Ministers:
Examining recent developments in the economies of the Union, the Council of Ministers welcomed the continued recovery in economic activity during 2022, despite the unfavorable international situation. The real Gross Domestic Product (GDP) growth rate stood at 5.6% in 2022 against 6.1% in 2021, driven by the good performance of activity in all production sectors and domestic demand supported.
The Ministers noted a slight easing in the inflation rate in the Union, like in other regions of the world, which stood at 7.8% in the fourth quarter of 2022 against 8.4% a quarter earlier. This deceleration in the general price level is mainly due to the increase in food production from the 2022/2023 agricultural campaign and the gradual normalization of monetary policy. Over the whole of 2022, the inflation rate stood at 7.4% against 3.6% in 2021. According to forecasts, inflation should continue its downward trend in 2023 to stand at 5 .6%-
Examining the budgetary situation, the Council of Ministers noted a deterioration in the budget deficit, on a commitment basis, including grants, which stood at 6.8% of GDP at the end of December 2022 against 5.4% a year earlier. This change is the result in particular of an increase in government spending, in connection with measures to combat the high cost of living and the continuation of investment programs.
With regard to the financing of budgets, the States mobilized 8,476.9 billion FCFA in 2022 on the public securities market and 2,022.9 billion in the first quarter of 2023. In view of recent developments, the Board discussed the actions with a view to revitalizing the public securities market in WAEMU.
The Council underlined that the economic outlook for the Union remains favorable overall, despite the persistence of certain risk factors. The real GDP growth rate should stand at 6.5% in 2023 and 7.0% in 2024 in connection with the strengthening of activity in the tertiary and secondary sectors, in particular the completion of several large-scale oil and gas projects. gas.
The Ministers also examined and approved the Report on the economic and monetary situation of WAEMU as of December 31, 2022 and proceeded to the approval of the BCEAO accounts for the 2022 financial year as well as the allocation of the financial result.
In addition, the Council adopted the Draft Convention governing the WAMU Banking Commission and its Annex as well as the Directive relating to the Fight against Money Laundering, the Financing of Terrorism and the Proliferation of Weapons of Mass Destruction and the Draft Uniform Law relating to the same subject.
Finally, the Council approved the appointment of representatives of the Member States within the Committee for Financial Stability in UMOA (CSF-UMOA).
Under the BOAD
The Council of Ministers adopted the revised updated financial outlook for 2023-2027, the 2022 Annual Report as well as the annual accounts of BOAD for the year ended December 31, 2022. The Ministers also approved the modification of the Statutes of this Institution following to the capital increase decision made at the end of December 2022.
Under the WAEMU Commission
The Council of Ministers examined and approved the Draft Supplementary Act renewing the mandate and appointing the Advisors to the WAEMU Court of Auditors.
The Ministers also examined and adopted the Decision on the adoption of the Regional Program for the Development of the Digital Economy (PRDEN) of UEMOA and that on the modalities of its implementation. The PRDEN, which will be implemented over the period 2023-2027, aims to contribute to improving the performance of companies in the Union and to facilitate relations between citizens and the Member States. It contributes to increasing the use of digital services in economic and social activities within the WAEMU space.
The adoption of these two texts will make it possible to operationalize this Program by setting up institutional arrangements for its governance and financing.
Under the AMF-UMOA
The Council of Ministers gave a mandate to the President of AMF-WAMU to set up an Institutional and Organizational Reform Committee, with a view to submitting to it, before the end of 2023, proposals for the refoundation of this Body and subsequent adjustments to the basic texts governing its operation, after more than twenty-five (25) years of existence.
The Ministers, very sensitive to the warm and fraternal welcome which they received during their stay in Dakar, express to His Excellency Mr. Macky SALL, President of the Republic of Senegal, to the Government and to the Senegalese people, their sincere and deep gratitude.
Done in Dakar, March 31, 2023
The President of the Council of Ministers
Adama COULIBALY
