Regulatory Alerts2023-02-08
BCEAO Reinstates Variable-Rate Auctions on Weekly and Monthly Tender Windows
The Banque Centrale des États de l'Afrique de l'Ouest (BCEAO) issued Notice No. 001-02-2023 to reinstate variable-rate auctions on its weekly and monthly tender windows, shifting these mechanisms from fixed to variable pricing as part of monetary policy normalization. Effective February 10, 2023, the directive mandates this pricing adjustment while five designated liquidity windows—including recapitalization, support and resilience, marginal lending, intra-day advances, and special refinancing—maintain their current operating modes. Signed by Governor Jean-Claude Kassi Brou in Dakar on February 7, 2023, the notice formally updates the central bank's liquidity management framework.
Header and footer of page: Page layout 1 7/06/12 12:13 Page 1 The Governor NOTICE No. 001 - 02 - 2023 REGARDING THE RESUMPTION OF VARIABLE-RATE AUCTIONS ON THE WEEKLY AND MONTHLY TENDER WINDOWS OF THE BCEAO As part of the normalization of its monetary policy, the Central Bank has decided to return to variable-rate auctions on its weekly and monthly tender windows. The recapitalization window, the support and resilience window, the marginal lending window, the intra-day advances window, and the special refinancing window retain their current operating mode. This decision takes effect as of Friday, February 10, 2023. Done in Dakar, on 7 FEB. 2023 Jean-Claude Kassi BROU