The fourth ordinary session of the year of the WAEMU Council of Ministers, held on 10 December, adopted several conclusions and recommendations. The meeting, which was held by videoconference, was chaired by Sani Yaya, Minister of Economy and Finance of the Togolese Republic, its current President.

The Council of Ministers of the West African Economic and Monetary Union (WAEMU) held its fourth ordinary session of the year, on 10 December 2020, by videoconference from the premises of la Bceao. It was under the presidency of Sani Yaya, Minister of Economy and Finance of the Togolese Republic, its current president.

Also taking part in the meeting were Abdallah Boureima, President of the WAEMU Commission, Tiémoko Meyliet Koné, Governor of the Bceao, Serge Ekué, President of the West African Development Bank (Boad) and Mamadou Ndiaye, President of the Regional Council for Public Savings and Financial Markets (Crepmf).

According to a press release of the Bceao, at the end of the exchanges, the following conclusions and recommendations were approved by the ministers.

Reviewing the recent situation and prospects for WAEMU, ministers welcomed the resilience of economies in the face of the Covid-19 crisis. The Council of Ministers noted a recovery in economic activity in the third quarter of 2020 due to the lifting of mobility restrictions and the effects of public policies put in place to support economic activity. Indeed, the Union's GDP grew by 0.6% compared to the same period of 2019. For the year 2020 as a whole, the latest forecasts place the Growth Rate of the Union's GDP at 0.9% against 5.8% in 2019.

The Council noted that the disruptions of distribution channels in the context of the Covid-19 pandemic and the virtual stagnation of cereal production in the 2019/2020 season have led to an acceleration in the progression of the general price level.

Ministers also noted that the overall budget deficit for the Union, estimated at 3,742.1 billion (or 5.5% of GDP at the end of September 2020), has more than doubled compared to its level of 1,576.3 billion (2.4% of GDP) a year earlier. Internationally coordinated efforts to support economies in the context of Covid-19 have made it possible to finance crisis-induced needs and to maintain the Union's foreign exchange reserves at adequate levels.

The Council of Ministers stressed that despite the favourable development of the health situation in the area, the economic outlook for 2021 remains surrounded by uncertainties. In this regard, it urged Member States to accelerate efforts to improve the performance of tax administrations and rationalize public spending in order to free up resources to increase the capacity of national health systems, maintain social spending and pursue priority investments in infrastructure.

In addition, the Council of Ministers of the Union examined and adopted the draft uniform law on factoring in the Member States of Umoa. This text aims to provide the Union with an appropriate legal framework, which should contribute to boosting the financing of companies facing cash flow difficulties in order to finance their operating cycle.

The Umoa Council of Ministers approved the Boad's updated 2021-2025 financial perspective, the Boad 's risk appetite framework and the waiver of boad's immunities and privileges , in the context of the granting of assistance by its international technical and financial partners, the Austrian Development Bank (Bda) and the Bank JP Morgan.

The Council of Ministers approved the draft budget for the 2021 financial year of the Crepmf de l'Umoa. It also examined and adopted the budget of the Union's bodies, for the financial year 2021 adopted in terms of revenue and expenditure at the sum of 123,047,305,451 FCFA, down 13.0% compared to the 2020 budget.

The Council welcomes the Medium-Term Outlook for the Union, which indicates an improvement in the economic and financial situation in all Member States.

In order to ensure the viability of the Union and to create more budgetary space for the effective implementation of development plans, the Council urges member States to continue efforts to improve recoveries and mobilise concessional resources.

The Council therefore adopted the Recommendation on the economic and financial perspective of the Member States of the Union for the period 2021-2025. The Council examined and adopted the final audit report of the WAEMU bodies for the 2018 financial year. As such, it gave management discharge to the Chief Authorising Officer of the Union budget and to the Principal Accounting Officer of the Union bodies for the financial year 2018.