Comments by "bart thomassen thomassen" (@thomassenbart) on "Zeihan on Geopolitics" channel.

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  32.  @robgrt  This figure is totally fictious. Before throwing out such a sum, look at the GDPs of all of these nations or Africa entire. The entire continent generates about $3 trillion per annum. The former French colonies are among the poorest on the continent, with the exception of Morocco, Algeria and Tunisia. Here are some basic numbers for you: Benin $17B Burkina Faso $19B Cote D'Ivoire $70B Mali $19B Niger $14B Senegal $27B Togo $8B Guinea $21B If we include all of the former sub-Saharan French colonies outside of West Africa such as: Gabon $162B Cameroon $462B Chad $101B Mauritania $58B CAR $19B So, if you total all the above, what figure do you get? We see that Gabon and Cameroon together about $620B and that all of the others is around $370B. Obviously, France is not taking $500B from these colonies. It's not possible. The 500-billion-dollar theft myth is based upon the CFA currency and that countries using CFA Francs are required to store 50% of their currency reserves with the Banque de France, and the currencies are pegged to the euro. Notice this is currency reserves, not GDP or a tax or anything similar. Also, all members of the CFA currencies can quit at any time and establish their own money. The rules for accepting the CFA are: 1. unlimited convertibility of the CFA franc into other currencies guaranteed by France 2. fixed parity rate between the CFA franc and the French franc (then the euro) 3. free movement of capital between the countries of these zones as well as with France 4. deposit of at least 50% of foreign exchange reserves of the central banks concerned in Paris These deposits were supposed to guarantee monetary stability for countries using the CSA franc and to inspire confidence from foreign investors. France did/does not use these funds, which remain the property of these 14 African countries. Until recently, this "operating account" opened in Paris was also remunerated by the Bank of France at a higher rate than those of the market rate (0.7%) which brought in several tens of millions to the two African central banks concerned annually. France required African countries using the CFA franc to pool 50% of their foreign exchange reserves (not their exports) with two African central banks which then deposited these with the French treasury, in return for a guaranteed exchange rate with the Euro (this rule ended in 2020). They were free to access these reserves if they wanted to and France paid interest while holding them (at 0.75%). So, as with all things economic, there is good and bad. Countries using the CFA are tied to the Euro, which gives stability and tampers down inflation, and allows for easy exchange between CFA countries, however, the CFA because it is strong, necessarily lessens exports. This is the reality of the situation. There is no tax and the money deposited in the Bank of France was 50% of reserves, to cover export imports, not of GDP, also this money is still available for each country, not spent by France. And, any money sent, has never been $500 billion or anywhere near this, since the entire region, is scarcely worth this much money.
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