IMF Reaffirms Support For Central African Countries

Posted by African Examiner African News, Featured, Latest Headlines Monday, August 23rd, 2021

(AFRICAN EXAMINER) – International Monetary Fund (IMF) has reassured regional institutions and leaders of the Central African States of its support and partnership in tackling their economic challenges.

Managing Director of IMF, Ms. Kristalina Georgieva gave the assurance in Washington DC after her virtual participation in a Heads of State of Central Africa summit.

The summit was focused on the economic impact of the pandemic on the six countries of the Central African Economic and Monetary Community (CEMAC).

Ms. Georgieva said the IMF remains a partner of the region as countries strive to pave the way for post-pandemic sustainable growth.

She recalled that last year the health crisis, combined with an ensuing decline in oil prices and security issues, led to a deep recession and imposed a heavy toll on the region, weakening the countries’ fiscal positions and depleting external reserves.

In response, according to her, the IMF provided unprecedented emergency financial support and continues to work with the CEMAC countries to help them overcome the tremendous challenges they face.

“I emphasized that closely coordinated macroeconomic policies among all six countries and regional institutions are necessary to bolster CEMAC’s external and internal stability in the short term, and help the region emerge stronger from the crisis in the period ahead.

“I also stressed that CEMAC needs to continue fighting the health crisis and accelerate the vaccination campaign to ensure a sustainable recovery. The upcoming allocation of Special Drawing Rights should be used prudently and transparently. I recommended devoting it to address urgent needs and reserve build-up”, she said.

The IMF boss also noted that discussions at the summit also emphasized the need to push forward the regional reform agenda to help create job opportunities for the rapidly growing labour force and improve living standards.

“I welcome the commitment of CEMAC Heads of State to deep structural reforms to radically transform and diversify the region, continue to support regional institutions and reduce its dependence on commodities. Enhancing transparency in public finances and in the oil and gas sector, strengthening revenue mobilization, supporting strong governance, and implementing business-friendly reforms will be particularly important.

“I would like to sincerely thank President Paul Biya for organizing the Summit in his capacity of CEMAC President, and all CEMAC Heads of State for the constructive dialogue”, she stressed.