The Central Bank of Congo (BCC) decided to keep its key rate unchanged at 25% following a meeting of its Monetary Policy Committee held on Friday May 31, 2024.
Under the leadership of Madame Kabedi Malangu Mbuyi, Governor of the Central Bank of Congo, the CPM also maintained the mandatory reserve coefficients for deposits in Congolese Francs at 10% and 0% for sight and term deposits. The same applies to foreign currency deposits, the obligation reserve coefficients of which remain unchanged at 13% and 12% for sight and term deposits.
This decision is justified by the fact that the economic outlook for 2024 remains positive, with a growth projection close to 5%, an improvement in the balance of payments and the public finance situation, and a slowdown in inflationary pressures.
“The CPM took note of the strong growth of the Congolese economy in 2023 (8.4%), supported by the continued dynamism of the mining sector and vigorous activities in the non-extractive sector. On the other hand, inflation was higher than expected, reaching 23.8% year-on-year in December 2023, reflecting both imported inflation, budgetary tensions linked to the continuation of conflicts in the east of the country, as the consequent depreciation of the exchange rate. “, we read in the final communiqué of the said meeting.
The Central Bank of Congo undertakes to continue to closely monitor the economic and financial situation of the country, and to use monetary policy instruments in order to contribute to strengthening the stability of both domestic prices and the exchange rate. .
According to the agreed timetable, the next meeting of the Monetary Policy Committee will be held on August 8, 2024.
