The Central Bank of West African States published the outcome of the 29th ordinary session of the Financial Stability Committee in the West African Monetary Union, which reviewed the macrofinancial environment in the first quarter of 2026. The committee found that the WAEMU financial sector remained resilient despite a difficult external environment and persistent uncertainty, but warned that external and domestic vulnerabilities could weaken that resilience over the short to medium term. The assessment pointed to continued strengthening across the region’s financial system. Banks improved their average overall solvency ratio and remained above the regulatory minimum. Insurers kept coverage of regulated commitments above prudential requirements. Regional market benchmarks posted favorable performance, while the social security sector remained dynamic, financially balanced and able to meet short term obligations. Against that backdrop, the committee highlighted risks from geopolitical and security tensions, including supply chain disruption linked to the closure of the Strait of Hormuz, which could raise transport and energy costs, add to inflation and weigh on global growth. Within the union, it cited the persistent deterioration in the security situation in some areas as a threat to economic activity and growth, and flagged cyberattacks as an emerging risk with potentially significant macroeconomic and financial stability effects. The committee issued recommendations to member states and the union’s financial sector regulators and supervisors to heighten vigilance toward these risks, strengthen cooperation and continue actions aimed at supporting the resilience of the regional financial sector and preserving growth momentum.

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