The Monetary Policy Committee (CPM) of the Bank of Central African States (BEAC) has posted “a gradual growth recovery”, at sub-regional level, thanks to the dynamism of the non-oil sector.
In a note issued on Wednesday at the end of its ordinary session held the day before in the Cameroonian capital Yaounde, it said in light of the updated economic, monetary and financial data for 2017, a slight recovery of the economic growth has been witnessed with a rate of + 0.8 percent in real terms, a mitigation of inflationary pressures with a rate of + 1.6 percent at the end of December last.
The CPM also notes a drop in the deficit of the budgetary balance, base commitments, excluding grants, estimated at -3.5 percent of gross domestic product (GDP), an improvement in external accounts, with a current account deficit of 7.9 percent of GDP.
In terms of foreign exchange reserves, the committee also noted their gradual replenishment, while encouraging further efforts, including the signing of aid agreements for economic recovery with the International Monetary Fund (IMF).
Based on these analyzes and after examining the various factors influencing monetary and financial stability in the CEMAC zone, the CPM decided to reduce the penalty rate applied to banks and -treasuries from 10 percent to 7 percent and to maintain unchanged the other major rates.