(Business in Cameroon) – The Bank of Central African States (Beac), the issuing institution for the Cemac countries, has launched a seventh series of three securities issuances totaling CFA 150 billion.
The first issuance, amounting to CFA 50 billion, consists of 28-day bonds with a 3.5% yield and was launched on July 8. The central bank has yet to publish the results of this operation. The next two issuances, each amounting to CFA 50 billion, will be launched on July 15 and 22, 2024, respectively, with a maturity of 14 days and a yield of 2.5%.
Through these securities issuances, Beac aims to drain liquidity from the banks. The results of these operations are pending. Notably, the last issuance of 14-day bonds on July 1, 2024, resulted in a subscription rate of 36%. The central bank sought to withdraw CFA 50 billion from banks through these 2.5% yield securities, but credit institutions offered only CFA 18 billion.
Additionally, on July 2, in a liquidity injection operation amounting to CFA 165 billion, banks expressed total needs of CFA 385 billion, reflecting a subscription rate of over 233%. It is possible that these new bonds might again be shunned by the banks.
