Cemac's monetary policy report, released on October 30 this year, indicates that the credit rate and the repatriation of foreign currencies are at the root of this situation.
In 2018, the banks of Cemac are new in surliquidity. That is, there is more money in the banks (banknotes and coins). Yet these credit institutions a year ago were facing a lack of liquidity that required the intervention of the Beac.
The Central Bank has provided many financial support to several credit institutions in the subregion to alleviate the problem. Today is another situation. The finding is made by the Beac in the recent report on the monetary policy of CEMAC.
This excess liquidity results from the low credit rate. Banks refuse or do not grant enough credit to their clients. This situation is also due to the return of the currencies and reserves of the commercial banks imposed by the Cobac (Central African Banking Commission).
In the same report, the Beac notes that excess liquidity has the effect of increasing the reserves of banks in the sub-region. These are past of1CFAF 606.2 billion, a year ago to FCFA 1932.6 billion in July 2018, an increase of 20.3%against-30.8% at the same time in 2017.