"LE GABON ENERVANT" OR "ANNOYING GABON"

 

 

English version  Countries subject to the conditions of the International Monetary Fund (IMF) are those that, like Gabon, are going through a serious economic crisis and have no other options to borrow money. These countries need the IMF because it acts as a lender as a last resort. When a country, such as Gabon, requests IMF assistance, it is usually because it can no longer pay for its imports or repay its external debt. The IMF lends money in exchange for a program of strict reforms (conditionalities). These conditions have two official objectives: A) Guarantee repayment: The IMF wants to ensure that the country regains sufficient financial health to repay the loan. B) Correct imbalances: Reforms aim to address the root causes of the crisis (excessive spending, lack of competitiveness, etc.). The list of countries currently under conditions (2024-2025) is changing, but the main “customers” of the IMF can be classified into three major categories: A. The Big Debtors (Chronic or s...

English version  The financial situation of CEMAC is very precarious. It is marked by a liquidity crisis and a weakening of external accounts. The regional public securities market (where states borrow to finance their budget) is going through a zone of great turbulence. Investors have become very cold. The coverage rate of government securities issues fell drastically in 2025, sometimes falling around 60%, compared to nearly 80-90% before; meaning that states are struggling to find the money they need. To attract lenders, states must offer increasingly higher interest rates, which increases debt service. The burden of debt repayment is nibbling on an increasing share of tax revenues, reducing room for manoeuvre for investment. The solidity of the CFA Franc depends on the foreign exchange reserves held at the BEAC. However, the recent trend is worrying. After reaching a peak in mid-2025 (more than 7 trillion FCFA), reserves melted to reach about 6,200 billion FCFA in October 2025. ...