BCEAO releases $ 6 billion for West African economies

The BCEAO has just made a liquidity injection of 3350 billion FCFA ($ 6 billion) at a fixed rate of 2% in favor of several banks of the UMOA. A total of 87 financial institutions participated in the operation. The Central Bank of West African States (BCEAO) made a further injection of liquidity to its member countries last week. In total, 3350 billion FCFA ($ 6 billion) were disbursed by the institution.

During the auction on September 14, 87 banks in the sub-region obtained an injection of liquidity at a fixed rate of 2%. With more than 1000 billion FCFA ($ 1.8 billion), it is the Ivory Coast which obtained the most important financing, ie 31% of the funds injected.

It is followed by Senegal with more than 580 billion FCFA ($ 1 billion), Mali with 466 billion FCFA (835 million $), Benin with 434.5 billion FCFA (777 million $) and Burkina Faso with 318 billion FCFA. ($ 569 million). Niger with 241.6 billion FCFA ($ 432 million), Togo with 219 billion FCFA (…

France among the big arms dealers

The French arms industry is surfing on the record level of world arms sales. In the background, there is the rise of conflict in the world, whether it is:

1) state, that is to say, the result of a confrontation between two states, or between a state and a rebel group, what most people call "war";
2) non-state, such as inter-ethnic, inter-cartel conflicts or even a conflict described as "unilateral violence" which refers to the use of armed force against civilians by a State or of an armed group.

After falling to 81 in 2010, the number of conflicts has more than doubled since and has exceeded 160 since 2017.

France among the big arms dealers

A market of at least 420 billion dollars in 2018, excluding China
This rise in violence was accompanied by that of military spending worldwide, up 13% in constant dollars between 2008 and 2018. In current dollars, the sum of annual defense budgets now exceeds $ 1,800 billion, or the equivalent of 2.1% of world GDP.

It is in this context of rising military spending that the arms sales market is evolving, which is beneficial to the major arms-producing countries and their businesses. Result: the activity of the 100 largest companies in the sector reached $ 420 billion in 2018, up 4.6% on 2017 in constant dollars and 47% since 2002. And still, the real figure is much higher because Chinese companies, for lack of reliable data, are excluded from the analysis. China is a constantly growing defense budget: over the past five years, it has spent more than $ 1,000 billion, which is certainly three times less than the United States, but three times more than closest pursuers including France in 5th position.

However, if 10 years ago, the Middle Empire still depended largely on Russian and Ukrainian imports for its armaments, this is no longer the case today as shown by the launch in December 2019 of its first carrier 100% “made in China” aircraft. While figures on arms sales by Chinese companies remain difficult to access, estimates by the Stockholm International Peace Research Institute (Sipri) place China in 2nd place, far behind the United States , but far ahead of Russia and the United Kingdom which are neck and neck. France, with more than $ 20 billion in sales, finds itself as the 5th largest producer of weapons in the world.

France, 3rd arms exporter

This hierarchy is also that of the strength of internal markets, the desire for autonomy in armaments and the various military powers. The data on foreign trade give another information, that of the place taken by these countries in the world arms trade and the positions are changing. If the United States remains number 1, it shares leadership with Russia. This duo is more than half of the world's arms exports. In third position, France, with 7% market share, ahead of Germany and China, most of whose arms production is in fact intended for the People's Army.

This number 3 place in France is mainly based on 6 groups: Thal├Ęs, Naval Group, Safran, Dassault Aviation, CEA and Nexter, industrial group of land armaments - manufacturer of the Leclerc tank in particular - list to which Airbus must be added, 7th largest weapons manufacturer in the world, and MBDA, a European group among the main manufacturers of missiles in the world, of which Airbus and BAE are the main shareholders.
This strike force allows France to impose itself on all continents with a center of gravity which nevertheless leans clearly towards the Near and Middle East, despite a recent refocusing on European countries. The place of India can be explained by the first deliveries of the contract for the 36 Rafale aircraft passed in 2016. Over 10 years, the first 10 customers, it is € 30 billion in equipment exports.

And it is in 2019, a surplus of 5 billion against 1.3 billion in 2000. And this is only the tip of the iceberg because it does not cover services, contracts that can run on several tens of 'years. For a country that fails to balance its external accounts, this is precious.

Should we be happy or sorry: France is a big arms dealer. But here as elsewhere, his positions are threatened. By the rise of China on the international scene, a country not a signatory to the Arms Trade Treaty adopted in 2013 by the UN to moralize this trade. By strategic misses such as that of drones, a huge fiasco, which led to the acquisition of American equipment, a great stab at the principle of strategic and industrial autonomy of France.