(Business in Cameroon) - The public Treasury of Cameroon, the Central African Republic (CAR), Chad and Gabon were able to raise over FCfa 26 billion in a week (20 and 27 July 2016), on the public stock market of the Bank of Central African States (BEAC), we learned from the official communiqués of this issuing institution.

But, the results of selling sessions of the public bonds from these countries present the picture of an important gap on the level of confidence that investors have for each of these four States in the CEMAC zone.

With a subscription rate of 235% (FCfa 16.5 billion were offered for a demand of only FCfa 7 billion) to its bonds with a maturity of 52 weeks, and an average interest rate of 2.4%; Cameroon always has a go signal on this market, where it has been the main actor since its creation in 2011.

Crowned with yet another success, the Cameroonian Treasury will attempt again on 3 August, to raise an additional FCfa 7 billion. This will be done through the issuance of Treasury Bills (BTA in French) with a maturity of 26 weeks this time around.

However, for Gabon, Chad and CAR, indications from the BEAC public stock market seem to point towards a slowdown. Indeed, out of the 3 to 5 billion requested by Gabon on 20 July, through the issuance of Fungible Treasury Bonds (OTA in French) with a maturity of 2 years, only FCfa 4 billion were raised, thus a subscription rate of 80%.

Additionally, investors only agreed to provide the funds to the Gabonese Treasury with an average interest rate of 4.5%. Which however did not deter this country severely affected by the drop in the oil revenues, as Gabon will again try to raise FCfa 6 billion on the BEAC market on 3 August, with the issuance of Treasury bills with a maturity of 13 weeks.

Chad, for its part, posted the smallest rate of subscription on the BEAC market last week. The Treasury of this country, also badly affected by the drop in international oil prices, was only able to raise FCfa 11.2 billion out of the FCfa 20 billion requested on 27 July, corresponding to a subscription rate of 56%. The average interest rate demanded by investors during this sale session of 13-weeks Chadian BTA, peaked at 3.9%.

From this point of view, Chad did better than the Central African Republic. This CEMAC country, which is picking up after a long political instability, had to agree to an average interest rate of 5%, to raise FCfa 4 billion on the BEAC market, through the issuance of 26-weeks BTA. This was on 20 July.

The 5^th country on this market, Equatorial Guinea, is jumping in the fray to raise funds on 3 August 2016, to attempt to get FCfa 20 billion through the issuance of 52-weeks BTA.

No information has been released so far on the operation (to raise FCfa 10 billion) scheduled to take place on 20 July on this same market by the oil El Dorado of the CEMAC area, who is paying the high price for its extensive dependency on oil revenues.

Brice R. Mbodiam