Retail Payment Systems
In the OIC Member Countries
60
institutions in 2007. The financial system remains functional, but commercial banks in rebel‐
controlled areas are closed.
The banking system had virtually disappeared in the north of the country where 50 bank
branches were closed in 2002; currently there are 18 main banks nationally and since mid‐
2007 some of the affected banks have resumed activity. Non‐performing loans fell from 26% of
total credit in 2004 to 20% in 2006. The largest banks include foreign ownership and are more
reliable in the unstable climate. The WAEMU banking commission maintains close surveillance
on six banks out of the 18 and four banks are not in compliance with the solvency ratio
requirement.
The government sold its shares in smaller banks and only has minority holdings in several
larger institutions. Its share in the Banque Nationale d’Investissement’s (BNI) total loan
portfolio fell from 83% to 60% in 2006. BNI is still not in compliance with the ratios for
liquidity and credit to shareholders and its share capital has not yet been opened to private
investors.
With regard to payment system, Regulation No.15/2002/CM/UEMOA on Payment Systems in
the Member States of WAEMU, which was enacted in 2002 provides a regional framework on
payment systems in WAEMU countries. This law addresses participants in the payment
system, operations and mechanisms of payment systems, choices of instruments as well as
information regarding acoount opening and operating.
Large Value Payment Systems
The states working with the West African Monetary Union (WAEMU) sub-region common
Central Bank are Benin, Burkina Faso, Ivory Coast, Guinea-Bissau, Mali, Niger, Senegal and
Togo. The Central Bank of West African States (BCEAO) operates the large value payment
system for all these countries and is a public international institution headquartered in Dakar,
Senegal. Its mission is to ensure price stability in the sub-region through sound monetary
policy, management of foreign exchange reserves, as well as strict bank supervision. In
addition, the BCEAO acts as the common issuer of Treasury Bills and Treasury Bonds for all the
member countries.
The BCEAO launched an RTGS system in 2004 for the members of the West African Economic
and Monetary Union (WAEMU).