The Central African Economic and Monetary Community (CEMAC) is facing serious difficulties, linked to a cash flow crisis, the weakness of its reserves, and a slowdown in growth, among other things. And recently, the option of devaluing the CEMAC CFA franc has been raised.

Citigroup, one of the world's largest banking and financial groups, based in New York, believes that the Central African monetary bloc should consider devaluing its currency, which is pegged to the euro. This would stimulate economic growth and stem the decline in reserves.

David Cowan, Citi's chief economist for Africa, quoted by Bloomberg, said that such a measure would also help to solve other economic problems within the Central African Economic and Monetary Community (CEMAC), including the high level of debt.

According to him, investors believe that “the real solution to the problems of low growth and persistent debt levels of the CEMAC member states lies in a devaluation of the currency, followed by a restructuring of the debt”.

But, so far, CEMAC officials do not see things that way. “The CFA franc is not threatened. The rumors of devaluation are totally unfounded,” Yvon Sana Bangui, Governor of the Bank of Central African States (BEAC), reassured last April.

The Bank of Central African States (BEAC) is the issuing institution of the Central African Economic and Monetary Community (CEMAC) and the common central bank of the six states that constitute it (Cameroon, Central African Republic, Republic of Congo, Gabon, Equatorial Guinea and Chad).