Burkina Faso, Mali and Niger Plan Joint Development Bank, Stirring CFA Franc Debate

By : Chinasaokwu Helen Okoro

Burkina Faso, Mali and Niger Plan Joint Development Bank, Stirring CFA Franc DebateBurkina Faso, Mali and Niger — three Sahel nations now governed by military juntas — have announced plans to establish a joint investment and development bank to serve as the financial backbone of their Alliance of Sahel States (AoSS).

According to the governments, the new institution will help fund infrastructure, energy and social projects while reducing reliance on regional bodies such as the West African Economic and Monetary Union (UEMOA) and the Central Bank of West African States (BCEAO), which manage the CFA franc currency.

Officials said the initial capital base is expected to be assembled by the end of September, marking the bloc’s first concrete economic initiative since the AoSS was formed in 2023 as a response to political isolation from the Economic Community of West African States (ECOWAS).

The plan has already reignited debate over the CFA franc — a currency long pegged to the euro and backed by the French Treasury.

Critics in the three countries argue that the arrangement limits monetary sovereignty and stifles local development, while supporters say it ensures stability and investor confidence.

By launching their own development bank, the Sahel states signal a deeper push for autonomy, both politically and economically. Analysts, however, warn that financing challenges, international sanctions, and regional instability could complicate implementation.

About The Author

Ollus Ndhomu

See author's posts