BURKINA FASO and its Currency
Coin-house, Kochi
Burkina Faso is a landlocked country in West Africa that has a rich and diverse culture and history. In this video, we will explore some aspects of this fascinating country, such as its location, history, present status, and currency.
Location of Burkina Faso
Burkina Faso is situated on an extensive plateau that is slightly inclined toward the south. It is bordered by Mali to the north and west, Niger to the northeast, Benin to the southeast, and Côte d'Ivoire, Ghana, and Togo to the south. The country has a total area of about 274,200 square kilometers (105,900 square miles), making it slightly larger than the United Kingdom. The capital city is Ouagadougou, which is located in the center of the country and lies about 800 kilometers (500 miles) from the Atlantic Ocean.
History of Burkina Faso
Burkina Faso has a long and complex history that dates back to ancient times. The region was populated by hunter-gatherers from 14,000 BCE to 5000 BCE, who left behind tools such as scrapers, chisels and arrowheads. From 3600 BCE to 2600 BCE, agricultural settlements were established by different ethnic groups. One of the most prominent civilizations that emerged in the region was the Bura culture, which existed from the 3rd century to the 13th century CE and was known for its iron production and artistic pottery.
From medieval times until the end of the 19th century, the central region of present-day Burkina Faso was ruled by the Mossi kingdoms, which were descendants of warriors from present-day Ghana who mixed with local peoples in the 11th century. The Mossi kingdoms successfully defended their territory, religious beliefs and social structure against forcible attempts at conquest and conversion by their Muslim neighbors to the northwest.
The French arrived and claimed the area in 1896, but Mossi resistance ended only with the capture of their capital Ouagadougou in 1901. In 1919, certain provinces from Ivory Coast were united into French Upper Volta in the French West Africa federation. In 1932, the new colony was split up for economic reasons; it was reconstituted in 1937 as an administrative division called the Upper Coast. In 1958, it became a self-governing republic within the French Community and adopted the name Republic of Upper Volta.
In 1960, Upper Volta gained full independence from France under President Maurice Yaméogo. However, the country faced political instability, social unrest and economic challenges in the following decades. Several coups d'état took place between 1966 and 1983, resulting in changes of leadership and constitution. In 1983, Captain Thomas Sankara seized power and renamed the country Burkina Faso, which means "land of honest men" in two local languages. Sankara implemented radical reforms aimed at promoting social justice, national sovereignty and pan-Africanism. He was assassinated in a coup d'état led by his former ally Blaise Compaoré in 1987.
Compaoré ruled Burkina Faso for 27 years until he was ousted by a popular uprising in 2014 following his attempt to amend the constitution to extend his term limit. A transitional government was established until democratic elections were held in 2015. Roch Marc Christian Kaboré won the presidential election and became the first civilian leader of Burkina Faso since independence. He was re-elected for a second term in 2020.
Present Status of Burkina Faso
Burkina Faso is currently facing a political crisis and a security challenge that have worsened since 2015. The country has been plagued by violent attacks carried out by armed groups linked to ISIL (ISIS) and al-Qaeda, who have exploited the porous borders with Mali and Niger and have targeted civilians, security forces and foreign nationals. The attacks have displaced more than one million people and have caused a humanitarian emergency. The government has struggled to contain the threat despite receiving military support from France, regional allies and international partners.
In addition to the security situation, Burkina Faso is also dealing with social and economic problems such as poverty, food insecurity, corruption, unemployment and environmental degradation. The country ranks among the lowest in human development indicators such as life expectancy, education and income. The country also faces the effects of climate change, such as droughts, floods and desertification, which have exacerbated the vulnerability of the population.
Burkina Faso is a member of the United Nations, La Francophonie and the Organisation of Islamic Cooperation. It is currently suspended from ECOWAS and the African Union following a coup d'état on 30 September 2022 that overthrew President Kaboré and installed a transitional military regime led by Captain Ibrahim Traoré . The coup was condemned by the international community and sparked protests and clashes in the country. The military junta has promised to hold elections within a year and to restore civilian rule.
Currency of Burkina Faso
The currency of Burkina Faso is the West African CFA franc, with symbol and currency code XOF. The CFA franc is also used by seven other countries in West Africa: Benin, Côte d'Ivoire, Guinea-Bissau, Mali, Niger, Senegal and Togo. These eight countries form the West African Economic and Monetary Union (UEMOA), which has a common central bank called the Central Bank of West African States (BCEAO) located in Dakar, Senegal.
The CFA franc was introduced to the French colonies in West Africa in 1945, replacing the French West African franc. The initialism CFA stands for Communauté Financière Africaine (African Financial Community). The CFA franc is pegged to the euro at a fixed exchange rate of 1 euro = 655.957 CFA francs. The currency is nominally subdivided into 100 centimes but no coins or banknotes denominated in centimes have ever been issued.
The production of CFA franc notes and coins has been carried out at Chamalières by the Bank of France since its creation in 1945. The current series of banknotes was issued in 2003 and consists of denominations of 500, 1,000, 2,000, 5,000 and 10,000 francs. The current series of coins was issued in 2003 and consists of denominations of 1, 5, 10, 25, 50, 100, 200, 250 and 500 francs.
The CFA franc is sometimes criticized for being a colonial relic that limits the monetary sovereignty and economic development of the UEMOA countries. Some critics argue that the peg to the euro makes the CFA franc overvalued and uncompetitive for exports, while others contend that the peg provides stability and low inflation for the region. In December 2019, it was announced that the West African CFA franc would be reformed, which will include renaming it the eco and reducing France's role in the currency . However, the implementation of the reform has been delayed due to technical and political issues .
Old Currency of Burkina Faso
Before adopting the CFA franc in 1945, Burkina Faso (then known as Upper Volta) used various currencies issued by France or other colonial powers. Some of these currencies were:
- The French West African franc (1920-1945), which was equivalent to the French franc and circulated in all French colonies in West Africa.
- The British West African pound (1914-1920), which was equivalent to the British pound sterling and circulated in British colonies in West Africa as well as some French territories that were occupied by Britain during World War I.
- The French Guinean franc (1901-1914), which was equivalent to the French franc and circulated in French Guinea (now Guinea) and some neighboring territories.
- The French colonial franc (1898-1901), which was equivalent to the French franc and circulated in all French colonies except Algeria.
- The French Equatorial African franc (1898-1901), which was equivalent to the French colonial franc and circulated in French Equatorial Africa (now Chad, Central African Republic, Congo-Brazzaville, Gabon and Cameroon).
- The French Sudanese franc (1896-1898), which was equivalent to the French colonial franc and circulated in French Sudan (now Mali) and some neighboring territories.
- The Algerian franc (1848-1898), which was equivalent to the French franc and circulated in Algeria and some neighboring territories.
