The Bank of Central African States (BEAC) has decided to come to the aid of economic agents in search of financing, by injecting liquidity into the money market in the amount of CFAF 250 billion. This operation will run from December 10 to 17, 2020.
From December 10 to 17, the Central Bank of the Cemac space will launch a liquidity injection operation on the money market in the amount of CFAF 250 billion. This boost from the Bank of Central African States (Beac) aims to help economic agents seeking funding to better mitigate the effects of the health crisis linked to Covid-19.
This operation will be carried out at the applicable tender interest rate (TIAO) of 3.25%, in accordance with community provisions. Assets accepted as collateral for BEAC refinancing operations operate in accordance with the resolutions of the CPM. According to the Central Bank, for this variable rate tender, the submission deadline of which is December 9, 2020, the maximum number of bids authorized per bidder is five.
In view of the difficult economic situation facing the economies of the sub-region, reinforced by the Covid-19 pandemic, this operation to inject liquidity into the money market could meet with enormous success, confirming a trend observed for some time. It will thus help stimulate investment and boost consumption.
The operation covers the six countries of the Central African Economic and Monetary Community (CEMAC). The assets accepted as collateral for BEAC’s refinancing operations operate according to decision No. 04 / CPM / 2013 of October 31, 2013.
