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International Monetary Fund. African Dept.
The WAEMU has, so far, demonstrated strong resilience to the Covid crisis. The economic rebound that started in the second half of 2020 firmed up in 2021, while fiscal and monetary policies remained supportive. External reserves have risen to comfortable levels and the financial system appears to be broadly sound. However, the region faces significant challenges to ensure the sustainability of macroeconomic policies, while supporting the economic recovery and navigating the uncertain outlook.
International Monetary Fund. African Dept.
The war in Ukraine is disrupting the post-pandemic recovery and exacerbating difficult policy trade-offs. This adds to a series of challenges facing the country, including the pandemic, the Ecowas sanctions against Mali, regional instability, and rising social demands. As a result, growth was revised down to 5 percent and inflation up to 5.5 percent in 2022. Medium-term prospects remain favorable with oil and gas production expected to start in 2023.