Economic Community of Central African States (CEMAC)
The CEMAC was formed in the 1990s to provide a union in central Africa between Cameroon, Central Africa Republic, Chad, Equatorial Guinea, Gabon, and the Republic of the Congo.
The Central Bank of African States was formed in 1972 with the CFA Franc which is now being transitioned to the ECO – pegged to the Euro.
The CEMAC countries have a total population of 55 million people.
The world bank reports on CEMAC’s objectives and growth.
“Different governance indicators all raise serious issues for the CEMAC countries all of which are ranked in the bottom half or even the bottom third of the ranked countries.”
Five of these six countries are oil exporters and oil has been a key factor in CEMAC development. These economies are diversifying now.
What is critical is building a digital infrastructure and the EIB (European Central Bank) has published a document addressing digitalization in Africa –
“Digitalisation contributes to the 2030 Agenda for Sustainable Development by supporting many of the UN Sustainable Development Goals.”
Digital access not only provides greater economic freedom, but also enables digital currencies move one step nearer to being used. Hence financial inclusion is closely linked to digital inclusion.
The OECD reports on some of these digitalization issues.
The Groupement Interbancaire Monétique de l’Afrique Centrale (GIMAC)
should continue working at achieving the full interoperability of mobile and digital
payments in the region (CEMAC).
The CFA Franc is used in CEMAC countries and this is pegged to the Euro.
As the ECB advances the CBDC case, the BEAC will have more opportunities to use CBDCs.