Senegal's National Credit Council (CNC) is calling for "special attention" to be given to the
availability of banking system resources, with a view to preserving the financing dynamic of the
private sector.
The CNC, which held its 26th meeting this Thursday at the premises of the main agency of the Banque centrale des
West African States (BCEAO) in Dakar, "considered it appropriate that particular attention be given to
the availability of increased resources at the level of the banking system, with a view to preserving the dynamics of
private sector financing.
"Regarding the quality of the portfolio of credit institutions, the council invited the services of the
BCEAO to ensure close monitoring of the evolution of outstanding debts", reports a press release.
He points out that the National Credit Council has taken note of the situation of credit institutions in
end of June 2019 marked by a positive evolution of the main aggregates, in particular loans to the
customers and shareholders' equity up, year on year, by 14.9% and 9.4% respectively.
He therefore welcomed the "globally satisfactory level of prudential ratios, with an average ratio of
solvency figured at 11.7% at the end of December 2018 for a minimum standard of 9.5%".
The National Credit Council noted at the same time that "the profitability of operations at the end of
the 2018 financial year, although down slightly compared to the previous year, remains at a relatively
appropriate with a return on equity ratio established at 13.8%".
He returned to the decision taken by the Monetary Policy Committee (CPM) of the BCEAO, during its
quarterly meeting held on September 4, 2019, to keep the key interest rates of the
BCEAO and the reserve requirement coefficient applicable to WAMU credit institutions.
“The key rates remain fixed at 2.5% and 4.5%, respectively for the minimum rate of submission to
liquidity injection tender operations and the rate of the marginal lending window, and at 3% for the
coefficient of compulsory reserves", notes the National Credit Council.
He also said that he had taken note of the decision of the CPM authorizing eligibility at the counters of
BCEAO refinancing of bonds issued by Banque de l'Habitat du Senegal (BHS).
The council hailed the initiative of the BHS, "the first of its kind in the UEMOA zone targeting the diaspora, as well
that the success of the operation", before urging the other banks to "engage resolutely in such
savings collection innovations for adequate financing of specific needs of
the national economy, in particular the private sector".
The press release indicates that the National Credit Council also saluted the memory of Gabriel Fal,
Founder of CGF-Bourse and former Chairman of the Board of Directors of the Regional Stock Exchange
securities ( BRVM ), who died on September 24.