In search for resolution to the economic crisis in central Africa

On june 16 2018, a meeting was held between the IMF board and the governor of the bank of Central African states known as BEAC. The purpose of the meeting was to have a « cordial and open discussion on progress under the strategy adopted by the BEAC to support the adjustment effort undertaken by theCEMAC member states, in response to the sharp decline in oil prices in 2014. »This is according to the statement released by the IMF: Statement by IMF Managing Director Christine Lagarde at the Conclusion of a Meeting with BEAC Governor Abbas Mahamat Tolli

it said in the release that in response to the decline of oil prices, the BEAC has adopted the following measures -tighter monetary policies, elimination of direct monetary financing of budgets, and ambitious reforms to modernize the BEAC governance and operations. These measure help to stop the decline in BEAC official reserves in 2017.

The CEMAC  countries, judging by the release, still have a lot of work to do. They need to continue implementing the BEAC policies and reforms  in order to achieve fiscal and financial objectives recommended by the IMF, if they want to qualify for an adjustment program. It is also important notice that on that same Friday it was announced that the price of oil has risen to the mid $60.00. Does this give a leverage of négociations for the countries of the CEMAC?

Publicité

Votre commentaire

Entrez vos coordonnées ci-dessous ou cliquez sur une icône pour vous connecter:

Logo WordPress.com

Vous commentez à l’aide de votre compte WordPress.com. Déconnexion /  Changer )

Photo Facebook

Vous commentez à l’aide de votre compte Facebook. Déconnexion /  Changer )

Connexion à %s

%d blogueurs aiment cette page :