Central Africa bloc predicts minimal economic growth

Bank of Central African States (BEAC) Governor Abbas Mahamat Tolli. NDI EUGENE NDI | NATION MEDIA GROUP 

The Economic Community of Central African States (CEMAC) has projected a 2.1 per cent economic growth for the region in 2018.

The projection is -0.1 recession on the previous year's.

The Governor of the Bank of Central African States (BEAC), Mr Abbas Mahamat Tolli, said the decline could be explained by the rise in commodity and crude oil prices as well as the implementation of economic, monetary and financial reforms approved by the regional bank.

Financial institution

Speaking in the Cameroonian administrative capital Yaoundé, Mr Mahamat said: “75 per cent of planned reforms have been fully realised and the remaining 25 per cent are in progress.”

He was speaking during the first session of the Monetary Policy Committee of the regional financial institution.

Mr Tolli, who is also the chairman of the committee, said the sub-region had survived high risks and he foresaw a much better situation this year, although the economies of the six member countries were still fragile

Oil-producing states

Other encouraging data, he said, included the reduction of budget deficit from 3.3 per cent in 2017 to 2.4 per cent for the current year, an inflation rate estimated at 1.8 per cent in 2018, compared to 0.9 per cent in 2017, which according to him was stable given that it was still below the threshold of 3 per cent for the region.

BEAC serves six-nation CEMAC blog and defines the monetary policy for the mainly oil-producing states of Gabon, Equatorial Guinea, Cameroon, the Central African Republic, Chad and Congo Republic.

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