The reconciliation with France allowed a French company to
start extracting iron ore from Mont Nimba, for the French
oil company to start extracting oil from Guinea's
continental shelf, and to start the extraction of the rich
bauxite deposits discovered in the 1970s. The country now
became the world's second largest producer of this mineral,
and at the same time signed an agreement with Mali, whose
perspective was the formation of an economic and political
federation between the two countries.
In late March 1984, Sekou Touré died in the United
States, undergoing treatment for an old disorder. A week
later, Colonel Lansana Conté announced a military coup that
overthrew the country's interim president, Louis Beavogui.
the new regime dissolved the structures around the "party
state", the constitution, mass organizations and parliament.
Guinea's Democratic Party was banned and the country's name
changed as the People's Republic and
Revolutionaries were deleted. The private sector
received support, the semi-state companies were closed down
and France, the United States and a number of African states
were called upon to contribute to revitalizing the economy.
Guinea's foreign debt reached US $ 800 million, and on
that basis, the regime decided to devalue the currency
syllable by 100% and cut public spending. Both demands
were made for the incorporation of Guinea into the French
currency area of Africa, CFA.
In December 1984, Colonel Conté cut the number of
ministers in his government and assumed the role of head of
state, prime minister and defense minister
As part of the economic recovery, in December 1985, the
regime launched a program to support the cultivation of rice
and privatized the state's commercial, industrial and
agricultural enterprises. However, the goal of
self-sufficiency with food could not yet be met.
In order to reduce public spending, massive redundancies
were made in 1987 by state employees. In 1988, Conté
banished a group of officers from the capital. Their strong
dissatisfaction with the low wages had been a threat to
stability. In January of that year, an 80% increase in wages
led to a tripling of prices. Subsequent demonstrations
forced the government to freeze prices for consumer goods
With the introduction of multi-party rule, opposition
leader Alpha Condé returned from his exile and led the
formation of the National Democratic Forum, which consisted
of 30 opposition groups. Despite the democratic opening,
however, the political persecution continued.
Lansana Conté was re-elected president at the December
1993 election, but with less than 51% of the vote. Alpha
Condé was accused of conducting a "coup d'état" and clashes
between the police and opposition sympathizers. In January
1994, dozens of people died during unrest in Macenta near
the border with Liberia.
In June 1995, the ruling parties won 76 out of the
parliament's 114 seats in an election which the opposition
termed fraud. The country's gross domestic product increased
by 5% annually, and in recognition of the good economic
prospects, the Paris Club canceled $ 85 million of Guinea's
foreign debt, and rescheduled another 85 million.