The Monetary Policy Committee (Cpm) of the Central Bank of West African States (Bceao) has decided to maintain unchanged the interest rates for bidding on liquidity injection tender operations and the loan counter.

The Cpm of the Bceao, in an ordinary meeting on March 3, 2021, reviewed the main developments in the international and regional economic situation during the recent period, as well as the risk factors that could affect the medium-term outlook for inflation. and economic growth in the Union.
With regard to the regional and international situation, budget execution in the Member States of the Union during the year 2020, the situation on the money market, the Cpm noted a slight deceleration in consumer prices in the fourth quarter of 2020, the inflation rate stood at 2.7% against 2.9% a quarter earlier.
Also, the underlying inflation rate, for its part, increased, standing at 1.8%, after rising by 1.6% a quarter earlier. For the whole of 2020, the inflation rate stood at 2.1%, after -0.7% in 2019. On the horizon of eight quarters, i.e. at the end of December 2022, the forecasts set the inflation rate at 1.8%, still within the target zone (between 1.0% and 3.0%) defined for monetary policy in the Union.
On the basis of these analyses, the Cpm decided to maintain unchanged the minimum interest rate for bidding on liquidity injection tender operations at 2.00% and the interest rate of the lending window. marginal at 4.00%, levels in force since June 24, 2020. The reserve requirement coefficient applicable to banks in the Union remains unchanged at 3.0%.