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CEMAC lost competitive positions internationally – BEAC

APAnews | The real effective exchange rate of Central African Economic and Monetary Community (CEMAC), which measures price competitiveness, increased in the third quarter of 2018, indicating a loss of competitive positions in international markets compared to the second quarter of the same year, according to the latest analysis from the Bank of Central African States (BEAC).

On a quarterly average, the overall rate appreciated by 1.8 percent, with the CFA franc, the sub-regional currency, in real terms, depreciating against the dollar (-3.1 percent) and the euro (-0.3 percent).

Between the 2nd and 3rd quarters of last year, the sub-region also recorded a slight depreciation of exports of around 0.3 percent, a trend reversal compared to the previous period, due to an appreciation of the sub-regional nominal effective exchange rate of around 1.9 percent, while inflationary pressures continued their upward trend, while remaining nevertheless contained below the Community standard of 3.0 percent on an annual average.

The annual average inflation rate thus increased from +0.6 percent at the end of September 2017 to +1.5 percent at the same period in 2018, after +1.4 percent at 30 June 2018, while the nominal appreciation of the CFA franc resulted in a loss of competitiveness on the international markets of the main products exported by CEMAC countries, particularly wood, cocoa, manganese, livestock and cotton.

Thus, in the third quarter of 2018, the overall index of commodity prices exported by CEMAC contracted by 0.3 percent compared to the previous quarter, due to a general decline in the prices of products, excluding energy products.

In general, commodity prices recorded various trends during the period under review, marked by an increase in energy prices (1.2 percent) but a general decline in the prices of other commodities, particularly agricultural (-8.6 percent), fishing (-3.8 percent), forestry (-3.8 percent), metals and minerals (-1.5 percent).

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6 comments

  1. The whole of cemac relied mostly on the potential s of southern Cameroons/Ambazonia. Cemac is finished so is CameroUn

    • Parfois ayez déscence de fermer vos gueules quand un sujet est au dessus de votre entendement vous avancez des inepties alors que vous ne maîtrisez même pas les leviers de l’économie du Cameroun.

  2. The real effective export numbers are to be found in the contradictory higher numbered statistics of the importing ports of Antwerp ,or where ever .why dont they include energy products ?is it sphoned off so quickly that they cant count it ? Publish what you pay ( for subsidaries of multinationals ) is making great progress in this geographical area ……

  3. My advice to admin is that stop publishing such a poorly written piece, with false information everywhere. Firstly, CEMAC is the least competitive zone in Africa, so who is it losing ground to? The problem of CEMAC is that apart from Cameroon, oul mskes up 80 percent of the GDP of the other CEMAC economies.

    The fallnof oil prices and the volatility associated with oil is ravaging CEMAC. The best strategy is to diversify their economies, but poor governance and corruption won’t let that happen.

  4. Should we not be reading the up and down graphs put forth by our own DSE (Douala Stock Exchange)?
    What was the point of leaving the NYSE, Dow-Jones Industrials, S&Ps, NASDAQ to create the DSE only to continue to rely on these earlier indices?