National Economic and Financial Committee (CNEF) Congo

24 Nov, 2023

The National Economic and Financial Committee met in ordinary session, Friday, November 24, 2023, at the headquarters of the National Directorate of the Bank of Central African States (BEAC) in Brazzaville, under the chairmanship of Mr. Jean-Baptiste Ondaye, Minister of Economy and Finance. This session was attended by Ms. Ingrid Olga Ghislaine Ebouka-Babackas, Minister of Planning, Statistics and Regional Integration; of MM. Ludovic Ngatsé, Minister of Budget, Public Accounts and Public Portfolio, Mr. Michel Dzombala, Vice-Governor of the BEAC, and Marcel Ondelé, Deputy Secretary General of the Central African Banking Commission (COBAC).


During this session, the Committee examined the recent national monetary and financial economic situation and its short-term prospects, in light of developments in the international and subregional economic environment; the evolution of the different methods of financing the Congolese economy during the third quarter of 2023; the state of implementation of the actions of pillar no. 2 of PREF-CEMAC; the draft CNEF 2022 Annual Report; and the draft CNEF Budget for the year 2024.

At the national level, the Committee noted the continued consolidation of the country's macroeconomic situation during the 2023 financial year, with a growth rate of real gross domestic product (GDP), which would be around 4.0%, instead of 3.0% previously projected, after 0.4% in 2022. This situation would mainly result from the expected increase in activities in the oil sector (+5.3% compared to +4.5% initially forecast, after -4 .4% in 2022), as well as the progression of activities in the non-oil sector (+ 3.0% against + 2.0% previously projected, after + 3.5% in 2022). On the price front, the annual average inflation rate rose to 3.4% at the end of June 2023, compared to 2.6% a year earlier, mainly due to imported inflation.

Examining the different methods of financing the Congolese economy as of September 30, 2023, the Committee noted, with regard to bank financing, that the outstanding gross credits to the economy increased by 8.5%, while overdue debts fell by 5.3%.

Regarding financing raised on the Treasury Securities Market (MVT) of the Central African Economic and Monetary Community (CEMAC), they show an outstanding amount of 1,964.2 billion, up 53.7% year-on-year. annual. This outstanding amount is mainly made up of Assimilable Treasury Bonds (OTA), i.e. 82.3%.

Regarding the monitoring of the actions of Pillar No. 2 of the Economic and Financial Reform Program (PREF) of the Central African Economic and Monetary Community (CEMAC), the Committee noted progress, particularly in the area of the interconnection of the IT platforms of tax administrations and customs, as part of the Single Treasury Account (CUT) project.

The Committee adopted the CNEF’s 2022 financial year report. He approved the principle of revising the scales of contributions to the CNEF budget. On this basis, it adopted the Program of Activities and the budget of the General Secretariat for the 2024 financial year.

Furthermore, the Committee renewed its congratulations to Mr. Serge Dino Daniel Gassackys, for his appointment to the post of National Director of the BEAC for Congo, whose official installation ceremony took place on the sidelines of the ordinary session of the CNEF .

On the international level, the Committee noted the revival of global economic activity in the second quarter of 2023, driven by the recovery in demand, linked to the downward trend in inflationary tensions and the positive effects of the normalization of supply chains on world trade. In this context, the International Monetary Fund (IMF) has kept its growth forecast for the global economy in 2023 unchanged at 3.0%, compared to 3.5% in 2022. Inflation would return to 6.9% in 2023 , compared to 8.7% in 2022.

At the subregional level, its revised forecasts for the year 2023 anticipate a slowdown in economic growth. It would return to 2.4% in 2023, compared to 2.7% previously projected, after 2.8% in 2022, mainly due to the greater decline in oil activity (-1.3% in 2023 compared to -0 .7% in 2022). Inflation should remain high at 5.7% on average, compared to 5.6% a year earlier, reflecting the rise in prices of imported food products and fuel in several countries.


The Communication Unit of the Ministry of Economy and Finance

Photo credits : B2B Communication