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Consensual Rape In The Franceafrique CurrencyMarkets

Consensual Rape In The Franceafrique CurrencyMarkets

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The CFA franc will be devalued on 1 January 2012 according to several reliable sources in West Africa. This happened before, with disastrous consequences. On 12 January 1994 Benin, Burkina Faso, Cameroon, Chad, Central African Republic, Comoros, Congo (B), Cote d‟Ivoire. Equatorial Guinea. Gabon, Mali. Mauritania, Niger and Senegal were informed that their common currency had been devalued by 50%. It would no longer cost 50 CFA francs to buy 1 French franc; it would now cost 100 CFA francs. There were violent reactions in many of the countries, especially Senegal, at the loss of 50% of their purchasing power. Now, in 2011, it will be even worse as high world prices for food, paid for in US dollars, will price imported food out of the reach of most Africans working in menial jobs, on the farms, as civil servants or unemployed. The responsibility for this approaching disaster is the failure of the French economy to deal with its long-term structural debt and the use of French reserves to prop up the failing Euro and to participate in the several bailouts within the Eurozone. French wars in the Ivory Coast and, especially Libya, have cut a major hole in the French pocket. Their tame African partners, the presidents of francophone African states, are complicit in this plan for devaluation and continue to follow the lead of their protectors, the French Army, in whatever they suggest. This relationship is long-standing and a paradigm of neo-colonial enterprise
The CFA franc will be devalued on 1 January 2012 according to several reliable sources in West Africa. This happened before, with disastrous consequences. On 12 January 1994 Benin, Burkina Faso, Cameroon, Chad, Central African Republic, Comoros, Congo (B), Cote d‟Ivoire. Equatorial Guinea. Gabon, Mali. Mauritania, Niger and Senegal were informed that their common currency had been devalued by 50%. It would no longer cost 50 CFA francs to buy 1 French franc; it would now cost 100 CFA francs. There were violent reactions in many of the countries, especially Senegal, at the loss of 50% of their purchasing power. Now, in 2011, it will be even worse as high world prices for food, paid for in US dollars, will price imported food out of the reach of most Africans working in menial jobs, on the farms, as civil servants or unemployed. The responsibility for this approaching disaster is the failure of the French economy to deal with its long-term structural debt and the use of French reserves to prop up the failing Euro and to participate in the several bailouts within the Eurozone. French wars in the Ivory Coast and, especially Libya, have cut a major hole in the French pocket. Their tame African partners, the presidents of francophone African states, are complicit in this plan for devaluation and continue to follow the lead of their protectors, the French Army, in whatever they suggest. This relationship is long-standing and a paradigm of neo-colonial enterprise

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Consensual Rape In The Françafrique Currency Markets
November 22, 2011
 It is happening again. The CFA franc will be devalued on 1 January 2012 according to severalreliable sources in West Africa. This happened before, with disastrous consequences. On 12January 1994 Benin, Burkina Faso, Cameroon, Chad, Central African Republic, Comoros, Congo
(B), Cote d‟Ivoire. Equatorial Guinea. Gabon, Mali. Mauritania, Niger and Senegal were
informed that their common currency had been devalued by 50%. It would no longer cost 50CFA francs to buy 1 French franc; it would now cost 100 CFA francs. There were violentreactions in many of the countries, especially Senegal, at the loss of 50% of their purchasingpower. Now, in 2011, it will be even worse as high world prices for food, paid for in US dollars,will price imported food out of the reach of most Africans working in menial jobs, on the farms,as civil servants or unemployed. The responsibility for this approaching disaster is the failure of the French economy to dealwith its long-term structural debt and the use of French reserves to prop up the failing Euroand to participate in the several bailouts within the Eurozone. French wars in the Ivory Coastand, especially Libya, have cut a major hole in the French pocket. Their tame African partners,the presidents of francophone African states, are complicit in this plan for devaluation andcontinue to follow the lead of their protectors, the French Army, in whatever they suggest. Thisrelationship is long-standing and a paradigm of neo-colonial enterprise
 
What Is The CFA Franc?
 There are actually two separate CFA francs in circulation. The first is that of the West AfricanEconomic and Monetary Union (WAEMU) which comprises eight West African countries (Benin,Burkina Faso, Guinea-Bissau, Ivory Coast, Mali, Niger, Senegal and Togo. The second is that of the Central African Economic and Monetary Community (CEMAC) which comprises six CentralAfrican countries (Cameroon, Central African Republic, Chad, Congo-Brazzaville, EquatorialGuinea and Gabon), This division corresponds to the pre-colonial AOF (Afrique OccidentaleFrançaise) and the AEF (Afrique Équatoriale Française), with the exception that Guinea-Bissauwas formerly Portuguese and Equatorial Guinea Spanish).Each of these two groups issues its own CFA franc. The WAEMU CFA franc is issued by the
BCEAO (Banque Centrale des Etats de l‟Afrique de l‟Ouest) and the CEMAC CFA franc is issuedby the BEAC (Banque des Etats de l‟Afrique Centrale). These currencies were originally both
pegged at 1
00 CFA for each French franc but, after France joined the European Community‟s
Euro zone at a fixed rate of 6.65957 French francs to one Euro, the CFA rate to the Euro wasfixed at CFA 665,957 to each Euro, maintaining the 100 to 1 ratio. The current plan is to pegthe rate at CFA 1,000 to 1 Euro - a reduction of about 50%.
Who Is Responsible for the CFA Franc?
 The monetary policy governing such a diverse aggregation of countries is uncomplicatedbecause it is, in fact, operated by the French Treasury, without reference to the central fiscalauthorities of any of the WAEMU or the CEMAC states. Under the terms of the agreementwhich set up these banks and the CFA the Central Bank of each African country is obliged tokeep at least 65% of its foreign exchange
reserves in an “operations account” held at the
French Treasury, as well as another 20% to cover financial liabilities.The CFA central banks also impose a cap on credit extended to each member country
equivalent to 20% of that country‟s public revenue in
the preceding year. Even though theBEAC and the BCEAO have an overdraft facility with the French Treasury, the drawdowns onthose overdraft facilities are subject to the consent of the French Treasury. The final say is thatof the French Treasury which has invested the foreign reserves of the African countries in itsown name on the Paris Bourse.In short, more than 85% of the foreign reserves of these African countries are deposited in the
 “operations accounts” controlled by the French Treasury. The two C
FA banks are African inname, but have no monetary policies of their own. The countries themselves do not know, norare they told, how much of the pool of foreign reserves held by the French Treasury belongs tothem as a group or individually. The earnings of the investment of these funds in the FrenchTreasury pool are supposed to be added to the pool but no accounting is given to either thebanks or the countries of the details of any such changes. The limited group of high officialsin the French Treasur
y who have knowledge of the amounts in the “operations accounts”,
where these funds are invested; whether there is a profit on these investments; are prohibitedfrom disclosing any of this information to the CFA banks or the central banks of the Africanstates.This makes it impossible for African members to regulate their own monetary policies. Themost inefficient and wasteful countries are able to use the foreign reserves of the moreprudent countries without any meaningful intervention by the wealthier and more successfulcountries. Convertibility of the CFA franc into French francs through authorised intermediariesis supported by provision for central-bank overdrafts on these accounts.
 
Three basic mechanisms have traditionally been used to control monetary growth in the CFAFranc Zone by the two banks operating under the instructions of the French Treasury:In the central banks' operations accounts, interest is charged on overdrafts, and conversely,interest is paid on credit balances.When the balance in a central bank's operations account falls below an agreed target level, itis required to restrict credit expansion, generally by increasing the cost to member countries of rediscounting paper with the central bank or by restricting member-countries' access torediscounting facilities.Credit provided by the central banks to the government sector of each of their membercountries can be no larger than 20% of its fiscal revenue in the previous year.However, this tight control by France of the cash and reserves of the francophone Africanstates is only one aspect of the problem. The creation and maintenance of the Frenchdomination of the francophone African economies is the product of a long period of Frenchcolonialism and the learned dependence of the African states. For most of francophone Africathere is only limited power allowed to their central banks. These are economies whosevulnerability to an increasingly globalised economy is increasing daily. There can be no tradepolicy without reference to currency; there can be no investment without reference toreserves. The politicians and parties elected to promote growth, reform, changes in trade andfiscal policies are made irrelevant except with the consent of the French Treasury which rationstheir funds. There are many who object to the continuation of this system. President
Abdoulaye Wade of Senegal has stated this very clearly “The African people‟s money stacked in
France must be returned to Africa in order to benefit the economies of the BCEAO memberstates. One cannot have billions and billions placed on foreign stock markets and at the same
time say that one is poor, and then go beg for money.” 
 
How Did This Happen?
 Decolonization south of the Sahara did not happen as de Gaulle had intended. He had wantedto create a Franco-African Community that stopped short of total independence. But, whenSekou Toure's Guinea voted "no" in the 1958 referendum on that Community, the idea waseffectively dead. Guinea was severely punished because of its decision and the French soonhad to proceed towards allowing the independence of its colonies but at the price of a strictcontinuing control over their economies. They agreed at independence to be bound by thePacte Colonial.The key to all this was the agreement signed between France and its newly-liberated Africancolonies which locked these colonies into the economic and military embrace of France. ThisColonial Pact not only created the institution of the CFA franc, it created a legal mechanismunder which France obtained a special place in the political and economic life of its colonies.This was largely the work of the French presidential adviser, Jacques Foccart. Jacques Foccartwas the chief adviser for the government of France on African policy as well as the co-founderof the Gaullist Service d'Action Civique (SAC) in 1959 with Charles Pasqua, which specialized in
covert operations in Africa. It was Foccart “the eminence grise” who negotiated the Pacte
Coloniale with the evolving French Afr
ican states who achieved their “flag independence “in
1960.The Pacte Colonial Agreement enshrined a special preference for France in the political,commercial and defence processes in the former French African colonies. On defence it agreed

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