FOREX Africa: The CFA Franc aka The African Euro

The CFA franc is used by approximately 14.2 percent of Africa’s population but accounts for little more than 5 percent of Africa’s total economic output. This disparity between population and output should give an idea of the degree to which the CFA franc zone is a consistent economic underperformer. Currency stability is a huge attraction, but this is counteracted by anemic growth and political insecurity. In one or two countries, the bet may pay off.