EXECUTIVE SUMMARY _____________________________________________________________________ regime and anti-competitive practices could not be enforced in Burkina Faso, the country has recorded a positive trend in intra-regional trade. IntraWAEMU exports grew at an average of 18.7% in volume between 1996 and 2005, while imports increased by 14.3% for the same period. These figures do not take into account informal trade. However, the efficiency and viability of regional integration efforts, in general, and the Customs Union, in particular, suffer from a lack of respect for the rules, the persistence of non-tariff barriers and many other physical obstacles. These constitute major challenges for the effective harmonisation of trade policies. 4.31 In conclusion, for regional integration to become a real opportunity for strategic development, it is essential to consolidate the pillars already built for the establishment of a common market. It is also vital to promote community policies that favour the development of shared potentialities which are aimed at the structural transformation of the product base. Burkina Faso could be the torchbearer of these strategies by skilfully developing mechanisms for regional integration. These could include integrating projects at common borders (‘cross-border development basins’), promoting a regional policy on industrialising cotton and shea-butter to stimulate their competitiveness, modernising cross-border infrastructures to exploit the central position of the country and, internally, improve the profitability of the taxation system. 5. CORPORATE GOVERNANCE 5.1 The codes and standards 5.1 The WAEMU convergence criteria contain the main ingredients needed to integrate the economy of Burkina Faso with a world economy. Moreover, Burkina Faso has ratified a number of codes and standards on corporate governance. The CRM mentions, in particular, all the core conventions of the International Labour Organization (ILO); legislation on public procurement; control of food products; banking controls; and the programme for the establishment of an accreditation, standardisation and quality promotion system (the WAEMU Quality Programme). It should be noted that the WAEMU Quality Programme has not always produced the expected results. Efforts to introduce banking controls include respect for the prudential rules of the Central Bank of West African States (BCEAO) and the Basel I standards founded by the European Union (EU) and implemented by the United Nations Industrial Development Organization (UNIDO). 5.2 Disseminating and implementing these codes and standards still poses problems in Burkina Faso. There is also a need to accelerate the adoption of the international audit standard and to prepare for the transition towards the Basel II banking laws at the subregional level. 5.3 An analysis of the types of enterprises in the economic sector shows that it is dominated by small businesses. These represent at least 98% of the registered 17