West African Economic and Monetary Union: Staff Report on Common Policies for Member Countries-Press Release; Staff Report; and Statement by the Executive Director for the West African Economic and Monetary Union

Economic growth continues to be strong in the WAEMU, while inflation has fallen back to its target range. An appropriately tight monetary policy, along with progress in reducing external imbalances, is supporting a strong recovery in reserves back above the lower end of the adequacy range. However, there is significant divergence among WAEMU member states in macroeconomic performance, policies, and resilience. In addition, public debt ratios have been significantly increasing in recent years and are particularly high in some member states. The region remains vulnerable to potential shocks, notably delays in oil production, falls in commodity prices (notably cocoa and gold), and constraints on external financing.