France has called on Africa's CFA franc zone to invest in "multiplier" sectors such as infrastructure to fight the global crisis, which an African finance minister said the region was weathering well as a result its euro-pegged currency, Reuters reported. This year would be one of risks and unpredictable pitfalls for the 14-country CFA franc zone but its governments should avoid populist measures like raising salaries, French Economy Minister Christine Lagarde said today. Despite some speculation over the future of the CFA, which some say should be devalued and others argue could be replaced, Burkina Faso's finance minister said the region's reserves meant the zone could cope with the economic crisis and the fact the currency was pegged to the euro boosted stability. The CFA zone is split into eight countries in West Africa and six in central Africa. Each group has has its own central bank and notes, with both versions of the CFA pegged at 655.957 CFA francs per euro. With many of their economies vulnerable to commodity price fluctations and reliant on remittances from abroad, countries in West and Central Africa have been hit by the global economic crisis, which has slashed regional economic growth rates.
