VIII.  TRADE AND PROJECT FINANCING

BANKING SYSTEM

SENEGAL IS A MEMBER OF THE WEST AFRICAN ECONOMIC AND MONETARY
UNION (UEMOA), FORMERLY WAMU.  THE 7 COUNTRIES OF THE UEMOA USE
THE CFA FRANC, ISSUED BY THE WEST AFRICAN CENTRAL BANK (BCEAO).
THE EXCHANGE RATE IS 100 CFA FRANCS EQUALS 1 FRENCH FRANC.
PARITY AND CONVERTIBILITY ARE GUARANTEED BY THE FRENCH TREASURY.


FOREIGN EXCHANGE CONTROLS

THERE IS FREE CONVERTIBILITY OF THE CFA FRANC VIA THE BANKING
SYSTEM FOR COMMERCIAL TRANSACTIONS.  THE RATE VARIES DAILY
ACCORDING TO THE FF-USDOL RATE.  TRANSFERS ARE MADE THROUGH THE
WEST AFRICAN CENTRAL BANK.  CFA FRANC BANKNOTES ARE NOT LEGAL
TENDER OUTSIDE OF THE UEMOA.  TRAVELERS MAY EXCHANGE FOREIGN
CURRENCY FOR CFA FRANCS WITHOUT LIMIT AT THE BANKS. TRAVELERS MAY
OBTAIN OBTAIN LIMITED BUT ADEQUATE AMOUNTS OF FF OR OTHER FOREIGN
CURRENCIES OR TRAVELERS CHECKS FOR CFA FRANCS AT BANKS UPON
PRESENTATION OF A VALID AIRLINE TICKET.

GENERAL FINANCING AVAILABILITY

THE MONETARY POLICY OF THE BCEAO IS EXTREMELY TIGHT.  THE
DISCOUNT RATE IS 14 PCT AND COMMERCIAL LOANS, IF AVAILABLE, COST
25 PCT PER ANNUM.


FINANCING EXPORT/METHODS OF PAYMENT

U.S. EXPORTERS SHOULD REQUIRE AN IRREVOCABLE LETTER OF CREDIT
DRAWN ON ONE OF THE MAJOR BANKS.  EXIMBANK FINANCING IS NOT
AVAILABLE FOR SALES TO THE SENEGALESE GOVERNMENT OR TO SENEGALESE
PARASTATAL ENTERPRISES.


PROJECT FINANCING

THE AFRICAN DEVELOPMENT BANK AND THE WORLD BANK FINANCE PROJECTS
DEALING WITH INFRASTRUCTURE.


BANKS

THE LARGEST COMMERCIAL BANKS ARE SUBSIDIARIES OF FRENCH BANKS:
SOCIETE GENERALE DE BANQUES DU SENEGAL (SGBS), THE BANQUE
INTERNATIONALE DE COMMERCE ET D'INDUSTRIE DU SENEGAL (BICIS,
AFFILIATED WITH THE BANQUE NATIONALE DE PARIS, BNP), AND CREDIT
LYONNAIS.  THE COMPAGNIE BANCAIRE OUEST AFRICAINE(CBAO) IS
FRENCH-OWNED.  CITIBANK N.A. OWNS CITIBANK DAKAR.