Parties were previously banned from holding public gatherings but still allowed to operate internally.
“The government believes that the proliferation of political parties has led to abuses, fuelled divisions among citizens and weakened the social fabric,” the presidency said in a readout of a cabinet meeting.
A draft law dissolving political parties will now be “sent to the Transitional Legislative Assembly as soon as possible” said territorial administration minister Emile Zerbo.
The assets of dissolved parties would be transferred to the state, he added.
The decision, he continued, aims to “preserve national unity, strengthen the coherence of government action and pave the way for reforming political governance”.
Traore’s 2022 coup ousted Paul-Henri Sandaogo Damiba, who had taken power only nine months earlier.
After going into exile in Togo, Damiba was regularly accused by Burkina’s military rulers of planning coup plots and assassination attempts — the latest earlier this month.
Togo extradited him this month back to Burkina Faso.