This study shows that the creation of money supply positively affects economic growth in a monetary union. Specifically, the long-term credit exchanging government securities in the West African Economic and Monetary Union (WAEMU) between 2003 and 2017 had an impact on economic growth. Using secondary data of macroeconomic variables and the P-value of the Hausman test, it gives evidence that supply credit between 2003- 2017 exerted an insignificant effect of only 5% on real GDP in the short term which, however, considerably increased to 10% in the long term.

Keywords: long, term, credit, Economic, Growth, WAEMU.