Foreign exchange market

The dollar touched a five-month high, benefiting from a message from James Bullard, president of the St. Louis Fed, who pleaded for an acceleration of the tightening of monetary policy. Between the ECB which is flexible and the new wave of Covid, the euro fell on Friday against the yen, a safe haven. The single European currency, which lost 1% to 128.63 yen around 10:20 GMT, was also down against the US dollar, the British pound and the Swiss franc. Countries where central banks act more directly to counter inflation. The franc firmed up significantly against the euro late Friday morning, hovering around 1.04 EUR/CHF, a level last reached in 2015.

The Central African sub-region will be governed by new foreign exchange regulations from January 1, 2022. The Governor of the Bank of Central African States (BEAC), Abbas Mahamat Tolli, announced on Wednesday the end of the moratorium granted to extractive sector companies resident in the Central African Economic and Monetary Community (CEMAC) zone for December 31. According to the Governor of the BEAC, the system that will soon be put in place for the application of foreign exchange regulations to companies in the extractive sector does not constitute a modification of the regulations in force, but proceeds to an operational adjustment of the methods of its Implementation.

Cryptocurrencies

The top cryptocurrency by market value, bitcoin was down 1.6% at $55,980 mid-term in Asia, its lowest since mid-October and 20% below last week's high. This week, bitcoin fell to its lowest in a month on Friday and was heading for its worst week in six months as traders posted profits after a long rally and spooked by the idea that creditors of the collapsed cryptocurrency exchange Mt Gox could liquidate their payouts. Ether, the second-largest cryptocurrency by market value, held steady near its three-week low of $4,014 on Friday, but is poised for a weekly loss of 14%.

Money markets

At the end of its issue of assimilable Treasury bonds (BAT) called "support and resilience bonds" with a maturity of 364 days, organized in partnership with the Agence UMOA-Titres based in Dakar, the State of Niger raised an amount of 27.500 billion FCFA. On November 16, 2021, the State of Guinea Bissau also obtained at the level of the financial market of the West African Monetary Union (WAMU) an amount of 12.870 billion FCFA. For its part, the General Directorate of Treasury and Public Accounting of Burkina raised this November 17, 2021 on the financial market of the West African Monetary Union (UMOA) an amount of 31.981 billion FCFA (47.971 million euros) . It was at the end of its issue of Treasury Bonds (BAT) called "support and resilience bonds" with a maturity of 364 days, organized in partnership with UMOA-Titres based in Dakar.

Furthermore, the Ivorian government has withdrawn its plan to issue complementary bonds (Eurobond) on the international financial market. And for good reason, the country wants to meet a number of financial needs for the year 2021.

Stock markets

At the end of the trading session of this Thursday, November 18, 2021, we note variable drops on the indices of the Regional Stock Exchange (BRVM). The BRVM 10 index (index of 10 leading stocks) fell by 0.60% to 148.36 points against 149.26 points the day before. For its part, the BRVM Composite index (general stock market index) fell by 0.01% to 193.20 points against 193.21 points the day before. Regarding the total value of transactions, it stood at 5.833 billion FCFA against 2.298 billion FCFA the day before. As for the market capitalization of the equity market, it stood at 5812.069 billion FCFA against 5812.505 billion FCFA the day before, a decrease of 436 million FCFA. That of bonds is also down by 21.65 billion FCFA, from 7192.741 billion FCFA the day before to 7171.091 billion FCFA at the end of the trading session of this Thursday, November 18, 2021.

In a press release dated November 16, the Director General of the Regional Stock Exchange (BRVM), Dr Edoh Kossi Amenounve announces that the Beninese treasury will reimburse its bond issues on November 29, 2021. This is a reimbursement anticipated and full of its loans called -TPBJ 6.50% 2018-2025- and TPBJ 6.50% 2017-2027-. Benin will also pay "interest due, in accordance with the information notes of the various issues (Reimbursement at the option of the issuer)".

Raw materials

New confinements would reduce the movements of the populations concerned, automatically reducing their oil consumption. Oil prices fell on Friday. Around 11:00 GMT (12:00 CET), the price of a barrel of Brent from the North Sea for delivery in January fell 1.85%, to 79.72 dollars. In New York, a barrel of West Texas Intermediate (WTI) for the month of December, which is the last trading day, lost 1.72% to 77.65 dollars.

Cotton exports in the WAEMU zone reached 856.5 billion in 2020. According to the Bceao, cotton exports decreased by 19.9% to stand at 856.5 billion in 2020, or 4.8% of total sales. outside property. The main EU countries exporting this product are Benin (42.9%), Côte d'Ivoire (22.1%), Burkina (20.1%), and Mali (8.3%). ).

Benin wants to produce one million tons of cotton during the 2023-2024 campaign to maintain its rank as the best African producer. With the production forecasts announced for this 2021-2022 campaign estimated at more than 766,000 tonnes, slightly up on the previous campaign, Benin is getting closer each campaign to its production target of one million tonnes. of seed cotton during the 2023-2024 campaign.

For the 2021/2022 campaign, the Coffee-Cocoa Council (CCC) of Côte d'Ivoire has put an end to the sales of cocoa export contracts due to the poor harvest. The CCC took this decision because the sector had been disrupted by the slowdown in world demand for cocoa. Indeed, due to the insufficient rains that fell between July and August in the growing areas, production should notably drop by 250,000 tonnes in 2021/2022.

Companies

The Ivorian financial group Compagnie Financière Africaine (Cofina) is negotiating its entry into the capital of JA Delmas. Having severed, at the beginning of the year, its association with the Moroccan royal holding Al Mada, the distributor of Caterpillar machines in Africa JA Delmas is in talks with the African financial company of the banker Jean-Luc Konan to sell him a stake in his capital.

The consolidated net income of the National Office of Telecommunications (ONATEL) of Burkina Faso increased by 14% at the end of the third quarter of 2021 compared to the same period of 2020. According to the leaders of this telecommunications company based in Ouagadougou, the net result stood at 25.697 billion FCFA in the third quarter of 2021 against 22.451 billion FCFA in the third quarter of 2020, an increase of 3.246 billion FCFA.

Banks and Insurance

The World Bank, in its Migration and Development Brief published on Thursday, November 18, 2021, reveals a 6.2% rebound in remittances to low- and middle-income countries. These remittances stood at 589 billion dollars in 2021. This rebound greater than previous forecasts confirms the robustness of flows already observed in 2020, when migration remittances fell by only 1.7% despite the severe global recession. caused by the Covid-19 pandemic.

Also, through the International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA), the Bretton Woods institution works with the Congolese authorities to facilitate access to electrical energy. The new financing agreement was signed during the official visit of President Félix Tshisekedi with the delegation of the two vice-presidents of the World Bank in Kinshasa.

The Board of Directors of the African Development Bank Group approved on Friday, November 12, a grant of more than 20 billion CFA francs to the African Development Fund for the Republic of Ghana. This fund will be used to further capitalize The Development bank of Ghana (Dbg), a new development finance institution in Ghana.

The President of the West African Development Bank (BOAD) Serge Ekoué, as well as the President of the Foundation for Studies and Research on International Development (FERDI), Patrick Guillaumont were received in audience by the President of the Commission of UEMOA, Abdoulaye Diop. They reviewed the cooperation between the two institutions, particularly on the file of the Energy Development Fund (FDE).

The African Export and Import Bank (Afreximbank) is working to ensure the success of the African Continental Free Trade Area (AfCFTA). Thus, she announced on the sidelines of the intra-African fair, a mechanism to cushion tax losses. Such an adjustment will relieve African countries from fiscal losses resulting from the tariff eliminations associated with the AfCFTA and help the private sector to reorganize its operations, as the same Bank also redirects its own actions towards the continental market.

The Central Bank of West African States (BCEAO) is launching a call for applications for the 2022 edition of the "Abdoulaye FADIGA Prize for the promotion of economic research". The Abdoulaye FADIGA Prize is an axis of the BCEAO's research policy which aims, through a framework of close collaboration with researchers and the academic world, to contribute to the development of research activities within the Economic and Monetary Union. West Africa (UEMOA).

Senegal signs two financing agreements with the German Development Bank (KFW). This partnership falls within the framework of the integration of renewable energies and the facility for the growth of small and medium-sized enterprises (SMEs).

The Central Bank of Guinea (BCRG) is injecting 300 billion GNF (30 million euros) into the local economy. This operation, launched on November 4, 2021 with a maximum rate of 12.75% and a minimum rate of 12%, matured on November 11. Two primary banking institutions benefited from it for a total of 250 billion (25 million euros), more than 80% awarded at the end of the operation.

The executive secretary of the Financial Services Quality Observatory (OQSF), Habib Ndao revealed that the insurance market in Senegal is estimated at 207 billion CFA francs. Quoting the latest figures from the Association of Senegalese Insurers (AAS), during a technical workshop to present the results of a survey conducted by the OQSF on bank-insurance, Habib Ndao indicates that the market insurance in Senegal is performing well.

Financial crimes

Maurice Kamto, Leader of the Movement for the Renaissance of Cameroon denounces the massive embezzlement of public funds within the government and calls for the opening of an investigation. Not having the legal means, the Movement for the Renaissance of Cameroon (MRC) asks the Government to very quickly clarify this situation which reinforces in the opinion the already very detestable image of a kleptocratic power carried by a mafia gang. At the same time, the MRC requests the audit of the famous Chapter 94 of the Finance Law entitled "Investments in intervention", over the last twenty years at least.

According to the chairman of the Orientation Council of the Financial Services Quality Observatory (OQSF), Momar Diop, the fight against money laundering and the financing of terrorism (AML/CFT) is a major challenge with regard to its adverse effects on economic and financial stability. He made this statement on Monday while chairing the work of a capacity building session on the fight against money laundering and the financing of terrorism (AML / CFT) which opened in Saly-Portudal ( Mbour, west).

As part of the fight against money laundering, the actors of the Decentralized Financial Systems of Togo participate in a training workshop. Organized by Expertise France, this training took place from 17 to 19 November in Lomé. It constitutes a framework for exchanges with a view to equipping participants on the mechanism for the Fight against Money Laundering and the Financing of Terrorism (AML/CFT).

Regional growth

Experts from the Commission of the West African Economic and Monetary Union (UEMOA) and the Economic Community of West African States (ECOWAS), with the support of the European Union, held a workshop restitution and validation of tax transition tools in Cotonou. This five-day workshop should lead to the validation of tax transition tools in West Africa.

The President of the Regional Consular Chamber (CCR-Uemoa) Daouda Coulibaly, accompanied by some members of his office, was received in audience by the Togolese Prime Minister, Victoire Tomegah Dogbé. Taking as a priority the support which the institution intends to provide to the private sector of the Union for a better contribution to the development of the States, Daouda Coulibaly asked the PM to be the advocate of the CCR with his peers so that the institution can be provided with sufficient resources for its proper functioning.

The ECOWAS Regional Competition Authority (ARCC) and the Ministry of Industry and Trade of Benin jointly organized an advocacy and sensitization workshop for national competition stakeholders. The objective is to highlight a new dynamic in the theme of competitive exchange.