Quotes from Standard Chartered:
-The euro (EUR) and the CFA franc have de preciated c.13% against the US dollar (USD) from a year ago. While we see negative implications for the CFA franc zone, for example in terms of higher inflation, EUR depreciation is likely to benefit most CFA franc countries as it will improve their competitiveness and raise the local-currency value of their commodity exports.
-EUR weakness should also provide a lull in the recurrent debate on the need for CFA franc devaluation (which usually intensifies during periods of EUR strength), even if the decline in commodity prices leads to concern about a deterioration in FX liquidity within the franc zone.
