(Business in Cameroon) - On June 29, 2021, the African Development Bank (AfDB) approved the regional project for the development of the CEMAC financial sector with a US$3.6 million (close to XAF2 billion) institutional support. This project is part of the second pillar of the “Monetary policy and Finance” component of Pref-CEMAC, an economic and financial reform program for CEMAC countries.
"In a context marked by the post-Covid-19 recovery efforts and external debts in the region, the project is aimed at helping CEMAC countries mobilize more domestic savings, which are crucial to efficiently fund the needs of the real economy and reduce countries’ economic vulnerability,” the AfDB explains in a release published on its website, on June 29, 2021.
Through ten major reforms of the CEMAC financial sector, the project will boost banking transparency and the performance of the Central African Stock Exchange (BVMAC) by raising resources for its development and increasing the number of companies listed on that exchange. The project also intends to boost financial inclusion and credit access as well as develop fintech, therefore, allowing access to improved funding sources to the population and improving their living conditions.
This project will directly benefit the Bank of Central African States (BEAC), the BVMAC, and the Central African Financial Market Supervisory Commission (COSUMAF) - the central securities depository. As for the indirect beneficiaries, they include financial institutions operating in the CEMAC region, the private sector, economic households, local companies (women-led particularly), and all of the firms operating in the region.