The National Directorate of the Bceao for Benin organized last Tuesday the day of dissemination of
external accounts for the year 2018. It was in the presence of about fifty guests from
public administration, international organizations, the private sector, banks, universities and
research centres on economic and financial issues. The work took place in Novotel de
Cotonou under the chairmanship of the Director of Cabinet of the Minister of Economy and Finance.
The first part of the work of this day of dissemination of Benin's external accounts was
dedicated to the analysis of the results of the balance of payments for the year 2018 and the international at the end of December of the same year. On the occasion of the opening ceremony, the National Director
of the Bceao, Alain Komaclo recalled the context and importance of this periodic meeting for the
economic and financial actors. "It should be noted that in 2018, Benin carried out in coherence with the international context, marked by a deceleration in economic activity
and a national economic activity whose growth rate is estimated at 6.7% in 2018 against
5.7% in 2017," said the National Director of the Bceao. According to its presentation, the overall balance of the
balance of payments thus shows a surplus of 196. 860.5 billion in 2018, after two consecutive years
deficit (164.447 billion CFA francs in 2016 and 118.287.1 billion in 2017). The presentation also has
highlighted an increase in the structural deficit of the current account in relation to gross domestic product
(4.5% in 2018 compared to 4.2% in 2017) mainly due to an increase in the deficit balance of the
balance of goods, following the increase in imports of intermediate goods and goods
equipment. In absolute terms, the current account deficit widened to 360. 362.6
billion in 2018 against 308. 345.9 billion in 2017. The current account deficit was largely
offset by the capital account and the financial account. The financial account recorded a consolidation
mobilization of external resources by the Government, through drawings of
resources to financial partners, and the increase in external commitments of others
sectors of the economy.
What about investments?
Direct investment inflows stood at 102. 370.5 billion in 2018 against 98. 128.3
billion in 2017. It is therefore an increase in line with the favorable outlook for the economy
Beninese.
Foreign direct investment benefited in particular the transport and
sectors warehousing, wholesale and retail trade, and manufacturing. On the other hand, the
Foreign direct investment flows came out negative in the construction,
sectors communication and financial intermediation, insurance and retirement.
As for the international investment position, it has a net financial liability of 3140 billion at end
December 2018. Net changes induced by other changes in assets and liabilities were
to 5,804.2 billion, mainly due to changes in the exchange rate between the CFA
and major currencies.
The outlook according to the Bceao...
Faced with these observations, the prospects for the development of foreign trade of the WAEMU countries and
improvement in Benin's balance of payments balances could be envisaged in terms of
regional and national.
At the regional level, the Central Bank recommends that countries implement measures to promote
import-substitution goods and services that weigh on external trade.