BEAC: Monetary Policy Rates CEMAC September 2026 Remain Unchanged

• On September 28, 2026, the BEAC's Monetary Policy Committee, chaired by Yvon Sana Bangui in Yaoundé, maintained all key monetary policy rates.
• The TIAO rate remains at 4.50%, with the marginal lending facility at 5.75%, the deposit facility at 0.00%, and required reserves at 6.50% for sight and 4.00% for term deposits.
• This decision was taken despite the BEAC forecasting a slowdown in CEMAC's economic growth to 3.0% in 2026, down from 3.7% in 2025.
• Inflation is projected to remain contained at 2.2%, while fiscal and current account deficits are expected to improve.
• The central bank's objective behind this monetary statu quo is to support resilience and preserve stability within the CEMAC region.

The Comité de Politique Monétaire of the BEAC opted for a monetary statu quo, explicitly stating its intention to support regional resilience while simultaneously safeguarding overall stability.

The Banque des États de l'Afrique Centrale (BEAC) announced on September 28, 2026, that its key monetary policy rates for the CEMAC zone would remain unchanged. This decision, made by the Comité de Politique Monétaire (CPM) during its meeting in Yaoundé, was presided over by Yvon Sana Bangui. The stability in BEAC monetary policy rates CEMAC September 2026 signals a consistent approach to financial conditions within the region.

Specifically, the BEAC's TIAO rate, which is the interest rate for calls for tenders, was maintained at 4.50%. Alongside this, the marginal lending facility rate stayed at 5.75%, while the deposit facility rate continued at 0.00%. These core rates dictate the cost of borrowing and the return on deposits for financial institutions operating under the BEAC's purview.

Furthermore, the required reserve ratios were also kept at their existing levels. Commercial banks are still mandated to hold 6.50% of their sight deposits and 4.00% of their term deposits as reserves with the central bank. This comprehensive maintenance of all key financial levers underscores the central bank's commitment to a predictable monetary environment.

Despite the decision to maintain its current monetary stance, the BEAC's internal forecasts for the CEMAC region indicate a projected slowdown in economic activity for 2026. The central bank anticipates that economic growth will decelerate to 3.0%, a notable decrease from the 3.7% recorded in 2025. This revised CEMAC economic outlook 2026 suggests a more moderate pace of expansion across the six-nation bloc.

However, the outlook for inflation remains positive, with projections showing it will be contained at 2.2% for 2026. This figure, while slightly up from 2.0% in 2025, remains comfortably below the community's established norm, indicating price stability. Fiscal health is also expected to improve, with the budget deficit, excluding grants, forecast to shrink to 3.3% of GDP, down from 4.5% in the previous year.

Moreover, the BEAC's projections point to an amelioration in the current account deficit, which is expected to narrow to 2.8% from 4.2%. The region's external financial position is set to strengthen, with foreign exchange reserves anticipated to cover 4.53 months of imports, an increase from 4.07 months in 2025. The external coverage rate is also projected to rise significantly to 72.4%, up from 65.2% in 2025, alongside a 10.6% progression in the money supply.

The Comité de Politique Monétaire BEAC decision to uphold the BEAC statu quo monétaire CEMAC was primarily driven by a dual objective: to foster resilience within the regional economy while simultaneously preserving its fundamental stability. This strategic choice reflects a cautious approach by the central bank, opting for consistency amidst evolving economic conditions.

By keeping the Banque des États de l'Afrique Centrale rates unchanged, the BEAC aims to provide a stable financial backdrop for businesses and investors. This predictability in borrowing costs and liquidity management is crucial for long-term planning and investment decisions across the CEMAC zone. The central bank's stance suggests a belief that the current monetary settings are appropriate to navigate the anticipated economic slowdown without introducing additional volatility.

The Comité de Politique Monétaire of the BEAC opted for a monetary statu quo, explicitly stating its intention to support regional resilience while simultaneously safeguarding overall stability. This decision underscores the BEAC's role in maintaining macroeconomic equilibrium. Despite the forecasted moderation in growth, the central bank prioritizes a stable financial environment, ensuring that the region can absorb economic shifts while safeguarding its monetary integrity and supporting sustainable development.

The BEAC's decision to maintain monetary policy rates signals continued stability in borrowing costs and financial conditions within the CEMAC zone. Lawyers advising clients on financing, investment, or commercial contracts in the region should note this predictable monetary environment, while also considering the forecasted slowdown in economic growth and its potential impact on business operations and risk assessments.

Source: Original reporting via Journalducameroun.com