The new French franc
of December 1958 had a fixed parity of one French franc
(FF) for 50 FCFA.
When Francophone Africa gained political independence in the 1960s, the currency was retained with the enticement (thrown in by the French government) to peg it to the French franc
which guaranteed total and free convertibility.
He wondered why Somary had made a distinction between the mainland and the African French franc
One French franc
will buy enough maize to keep an Afghan family going for one day while 27 deutschmarks will inoculate a child against six killer diseases.
This means that unless British holidaymakers reconvert their hoarded Spanish pesetas, Italian lira and French francs
back into sterling they will become worthless pieces of coloured paper.
An Austrian schilling was simply another name for a Belgian or French franc
, which was another name for the German mark.
Doubts about France and Italy, in particular, prompted a general flight to German marks from French francs
, Italian lira, and other currencies from European countries where high unemployment and concerns about fiscal consolidation persisted.
The same cannot be said for the group of countries still clustering round the DM--which includes the French franc
Rates of exchange determine how many French francs
or Italian lire you can buy for one U.
In the near-term, the French Franc
could encounter downward pressure against the Mark as concern rises over France's ability to meet the Maastricht Treaty's deficit criteria.
Generally, the mark-to-market rule applies to hedging instruments dealing with the following currencies: Japanese yen, British pound, Australian dollar, French franc
, Swiss franc, German mark, Canadian dollar and European Currency Unit.
The French franc
came under selling pressure but stabilized amid intervention purchases of francs and a rise in French interest rates.