Burkina Faso
Government and institution measures in response to COVID-19.
Government and institution measures in response to COVID-19.
Return to homepage | Last updated: 24 June, 2020
General Information
Reopening of the economy. As the number of new daily cases declined in late April and early May, the authorities began to ease some social and economic restrictions. Some urban markets and venues of religious worship were allowed to reopen on April 20 and May 2, respectively.
The quarantine of cities not exceeding one positive case of COVID-19 was suspended on May 4. This gradual reopening is subject to continued social distancing guidelines, mandatory use of masks, and regular disinfection and body temperature control (mosques and churches), among other measures.
Tax measures – Direct and Indirect
(e.g. payment deferrals, rate reductions…)
Click to see a comprehensive summary of jurisdictional tax measures and government reliefs in response to COVID-19.
Economic stimulus measures
(e.g. loans, moratorium on debt repayments…)
The regional central bank (BCEAO) for the West-African Economic and Monetary Union (WAEMU) has taken preemptive steps to better satisfy banks’ demand for liquidity and mitigate the negative impact of the pandemic on economic activity. The BCEAO first raised the liquidity made available to banks at its weekly and monthly auctions of March 23, allowing average refinancing rates to remain relatively close to the floor of the monetary policy corridor of 2.5 percent. This was followed, starting with the weekly refinancing auction of March 30, 2020, by the adoption of a full allotment strategy at a fixed rate of 2.5 percent thereby allowing banks to satisfy their liquidity needs fully at a lower rate. As announced on March 21, 2020, the BCEAO has also announced:
- an extension of the collateral framework to access central bank refinancing to include bank loans to prequalified 1,700 private companies;
- a framework inviting banks to accommodate demands from firms with Covid19-related repayment difficulties to postpone for a 3 month renewable period debt service falling due, without the need to classify such postponed claims as NPL; and
- measures to promote the use of electronic payments. In addition, the BCEAO has announced the creation of a special 3-month refinancing window at a fixed rate of 2.5 percent for limited amounts of 3-month "Covid-19 T-Bills" to be issued by each WAEMU sovereign to help meet funding needs related to the current pandemic.
