Regulatory Alerts2025-12-29
Decision No. 19 of December 29, 2025 Fixing the Usury Rate in UMOA Member States
The Council of Ministers of the West African Monetary Union (UMOA) has issued Decision No. 19 to establish fixed usury rates for financial institutions across member states, setting the limit at fourteen percent (14%) per annum for banks and twenty-four percent (24%) per annum for credit financial institutions, microfinance entities, and other economic agents. The Central Bank of West African States (BCEAO) must communicate these rates to national finance ministers and publish them in the Official Gazette or legal newspapers. This binding Decision repeals all prior usury provisions and enters into force on 1 June 2026, with implementation oversight assigned to the BCEAO, national finance ministers, and the UMOA Banking Commission.
WEST AFRICAN MONETARY UNION DECISION NO. 19 OF 29/12/2025/CM/UMOA FIXING THE USURY RATE IN THE MEMBER STATES OF THE WEST AFRICAN MONETARY UNION THE COUNCIL OF MINISTERS OF THE WEST AFRICAN MONETARY UNION (UMOA)
Having regard to the Treaty of the West African Monetary Union (UMOA) of 20 January 2007, particularly Articles 10, 11, 15, 17 and 34; Having regard to the Statutes of the Central Bank of West African States (BCEAO), annexed to the UMOA Treaty of 20 January 2007, particularly Articles 30, 42, 43 and 60; Having regard to the Uniform Act on the definition and repression of usury, particularly Article 1; Having regard to the BCEAO Note regarding the fixing of the usury rate in the member states of UMOA, presented to the Council of Ministers at its ordinary session on 29 December 2025; Having regard to the Deliberations of the Council of Ministers at its ordinary session on 29 December 2025,
DECIDES:
Article 1 This Decision aims to fix the usury rate in the member states of the West African Monetary Union (UMOA).
Article 2 The usury rate for banks is set at fourteen percent (14%) per annum. For credit financial institutions, microfinance institutions as well as other economic agents, it is set at twenty-four percent (24%) per annum. These rates are communicated by the BCEAO to the Ministers in charge of Finance of the member states of UMOA. They are published in the Official Gazette or in a legal announcements newspaper, at the initiative of the Minister in charge of Finance.
Article 3 The BCEAO, the Ministers in charge of Finance of the member states of UMOA and the UMOA Banking Commission are responsible for monitoring the implementation of this Decision.
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Article 4 This Decision repeals all prior provisions dealing with the same subject matter. It enters into force as of 1 June 2026 and shall be published wherever necessary.
Done in Cotonou, on 29 December 2025 For the Council of Ministers of the West African Monetary Union, The President Aboubakar NACANABO Minister of Economy and Finance of Burkina Faso