Multinational - Project to Reform System and Means of Payment in UEMOA Countries


Project Summary

Approval Date 02 Oct 2002
Signature Date 11 Dec 2002
Planned Completion Date 31 Dec 2010
Last Disbursement Planned Date 31 Dec 2010
Sovereign / Non-Sovereign Sovereign
Sector Finance
DAC Sector Code 24030
Commitment U.A 5,431,688.4
Status Completion

Project General Description

The Project to Reform Systems and Means of Payment in UEMOA countries fits into the integration strategy of Union member States. It's to supplement the financial sector reforms undertaken in member countries in the wake of the economic crisis of the early 80s as well as inappropriate macro-economic policies and poor management of banks. Indeed, the implementation of a modern system of payment using cutting-edge technology should contribute to promoting scriptural currency transactions, strengthening banks, extending the regional financial sector and generally, further promoting regional integration, and development of trade and investment within and between member countries in a safe environment that meets basic Bank for International Settlements (BIS) principles. It should contribute to improving the zone’s capital flow, bankarization of the respective economies and trade fluidity. Furthermore, through its objectives of improving financial and monetary management in UEMOA countries, and the scope of its infrastructure component, it synchronizes with the New Partnership for African Development (NEPAD). The project comprises the following components: A) Real-time gross settlement system (RTGS); B) High volume compensation system (Compensation); C) Establishment of an interbank card system (Electronic Money); D) Upgrading of telecommunications infrastructure; and E) Project Management.

Project Objectives

The sector goal of the project is to promote the growth and economic integration of UEMOA countries by upgrading basic infrastructure in the financial sector. Specifically, its objective is to establish a set of national and regional payment mechanisms, so as to (i) satisfy the growing needs of all economic sectors in UEMOA, in a sure, sound, secure, timely manner and at reasonable cost; and (ii) ensure that the new payment systems meet international standards and comply with basic principles, and consequently, guarantee a high level of consumer confidence in UEMOA financial systems.

Beneficiaries

The beneficiaries are the participating financial institutions, firms and the ever-increasing users of banking services. Even those who currently have no access to banking services could, in the long term, benefit from the project should the electronic cash card study prove conclusive.

Participating Organization

Funding
African Development Fund
Implementing
Mission pour la Réforme des Systèmes et Moyens de Paiement (MRSMP)

Information

IATI identifier 46002-P-Z1-HAA-008
Last Update 31 Oct 2019

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Geographic Location

Country Multinational