The Central Bank of West African States (BCEAO) has officially revoked the special regulatory treatment previously granted to Nigerien government securities. Effective April 3, 2025, these securities will now be subject to the same accounting and prudential standards as those of other West African Economic and Monetary Union (WAEMU) member states. The exemption was initially introduced in January 2024 under Notice No. 002-01-2024. It allowed financial institutions to treat Niger’s government bonds as sound assets, despite the country’s political instability following the July 2023 military coup and subsequent economic sanctions.
This temporary measure was designed to safeguard the balance sheets of regional banks exposed to Niger’s debt by preventing automatic downgrades of their asset quality. The BCEAO’s latest directive, Notice No. 005-04-2025, indicates a perceived improvement in Niger’s fiscal credibility and regional financial integration. The removal of the exemption reflects a return to normal financial risk assessments for Niger and suggests increased confidence in the country’s public finances.
Niger’s government debt instruments will now be evaluated on equal footing with those of the seven other WAEMU countries: Benin, Burkina Faso, Côte d’Ivoire, Guinea-Bissau, Mali, Senegal, and Togo.
