May 23, 2025/United Capital Research
Anglophone West Africa (WAEMU)
Nigeria
- CBN retains MPR at 27.5%, keeps CRR at 50%, liquidity ratio at 30%
The Central Bank of Nigeria (CBN) has voted to retain the Monetary Policy Rate (MPR) at 27.5%, following its 300th Monetary Policy Committee (MPC) meeting held in Abuja. This was disclosed by the apex bank’s Governor Olayemi Cardoso during the post-MPC press briefing on Tuesday. All 12 MPC members voted unanimously to maintain current policy rates, the CBN stated.
- CBN slashes FG loans by over N4tn
The Central Bank of Nigeria recorded a significant decline of N4.145tn in net loans and receivables in 2024, driven primarily by a reduction in its overdraft exposure to the Federal Government and changes across other loan categories. According to the apex bank’s audited financial statements, net loans and receivables at the bank level dropped from N16.122tn in 2023 to N11.977tn in 2024. At the group level, the figure declined from N15.091tn to N10.959tn, reflecting a N4.132tn drop. The most substantial adjustment came from the overdraft extended to the Federal Government under the Ways and Means provision.
- Nigeria spends $2bn on external debt in four months
Nigeria spent about $2.01bn on external debt servicing between January and April 2025, marking a 50 per cent increase compared to the $1.33bn recorded during the same period in 2024. This is according to the latest international payments data published by the Central Bank of Nigeria on its website, which was obtained by The PUNCH on Wednesday. The data showed that debt servicing alone accounted for 77.1 per cent of Nigeria’s total international payments within the four months, a sharp rise from the 64.5 per cent share recorded in the same period of 2024.
- Currency volatility now below 0.5% as FX market stabilises – Cardoso
The Governor of the Central Bank of Nigeria (CBN), Mr. Olayemi Cardoso, has announced that volatility in the foreign exchange (FX) market has declined significantly, falling below 0.5%, as Nigeria’s monetary and fiscal reforms begin to stabilise the macroeconomic environment. Speaking during a press briefing in Abuja on Tuesday following the 300th Monetary Policy Committee (MPC) meeting, Cardoso emphasised that the reduction in exchange rate volatility was a key indicator of the improving health of the Nigerian economy, underpinned by restored investor confidence, improved foreign exchange reserves, and greater transparency in CBN operations.
- Nigeria’s external debt service bill hits $2.01 billion in four months, gulps 77% of foreign payments
Nigeria spent over $2.01 billion on external debt servicing between January and April 2025, marking a 50% jump compared to the same period in 2024. The Central Bank of Nigeria’s (CBN) international payments data on its website shows that debt service costs now account for more than three-quarters of the country’s total foreign outflows. This development highlights the mounting pressure Nigeria faces in managing its external obligations amid persistent foreign exchange challenges and a fragile revenue base.
Ghana
- Ghana’s central bank to assess interest rate impact on inflation, says governor
Ghana’s central bank will assess whether its current monetary policy stance is enough to continue driving consumer inflation lower, Governor Johnson Asiama said on Wednesday. The Bank of Ghana raised its interest rate, opens new tab in a surprise decision in March after a marginal decline in inflation in February. However, the bank said it would later reassess the scope for monetary policy easing.
- Ghana on track to achieve single-digit inflation by Mid-2026 – Mahama
President John Dramani Mahama has expressed optimism about Ghana’s economic recovery, revealing that the country is on track to achieve a single-digit inflation rate by mid-2026, a major step toward building investor confidence. Delivering his address at the opening of the Ghana–EU Business Forum in Accra on Tuesday, May 20, the President highlighted improvements in Ghana’s economic indicators and reaffirmed his administration’s commitment to restoring macroeconomic stability. According to him, inflation, which peaked at 23.8% at the end of 2024, has begun to decline, reaching 21.2% in April 2025, attributing the development to a moderation in both food and non-food inflation, alongside prudent fiscal management by the government.
- ICCO Cocoa Market Review – April 2025
The third quarter of the 2024/25 season, which also marks the beginning of the mid-crop, started in April. During the first week of the month, prices of the nearby contract increased to US$8,787 per tonne in London and to US$9,286 per tonne in New York (Figure 1). At that time, news reports sounded the alarm of a potential poor mid-crop from top producing countries in West Africa. Prior to the beginning of April, improved supplies from the main crop had led prices to be bearish.
- Treasury Bill auction undersubscribed for third straight week
Latest data from the Bank of Ghana indicates that government missed its Treasury bill target for the third consecutive time falling short by GHS 3.92 billion. The auction recorded an undersubscription rate of 58.67%, a stark contrast to the previous week’s full acceptance. The government sought to raise GHS 6.68 billion but received total bids of GHS 2.76 billion. The 91-day bill received GHS 4.36 billion in bids, with GHS 2.09 billion accepted. For the 182-day bill, the government accepted GHS 513 million out of GHS 731 million tendered, while the 364-day bill attracted GHS 260 million in bids, of which GHS 154 million was accepted.
Francophone West Africa
Guinea
- World Court backs Equatorial Guinea in islands dispute with Gabon
Judges at the International Court of Justice (ICJ) ruled on Monday that Equatorial Guinea has a legal claim to a cluster of small islands in potentially oil-rich waters in the Gulf of Guinea, settling a decades-long dispute with neighboring Gabon.
Senegal
- Senegal: President Faye champions digital sovereignty with $1.7bn plan
In a standout address at the Africa CEO Forum in Abidjan, Senegal’s President Bassirou Diomaye Faye laid out an ambitious vision for the country’s digital future, outlining his commitment to a model of economic and technological independence.
Mali
- Mali hearing on Barrick’s Loulo-Gounkoto mines postponed to June 2
A Malian court has postponed for the second time a hearing on whether to place Barrick Mining’s Loulo-Gounkoto gold mine under provisional administration to restart operations, the presiding judge said on Thursday.
Ivory Coast
- Ivory Coast’s Energy Future in Focus: PETROCI Chief Executive Officer (CEO) to Speak at African Energy Week (AEW) 2025.
PETROCI CEO Fatoumata Sanogo is confirmed to speak at this year’s edition of African Energy Week (AEW): Invest in African Energies. As the head of Ivory Coast’s national oil company, Sanogo plays a central role in shaping the country’s hydrocarbons strategy and driving forward a new phase of investment and collaboration across the Ivorian energy landscape.
East Africa
Kenya
- Kenyan shilling stable versus dollar in balanced trade
Kenya’s shilling was stable against the dollar on Thursday, with foreign exchange supply and demand well-matched, traders said.
- Kenya looks to EU for more exports amid Trump tariffs
In the face of the Trump tariffs, Kenya says it is looking to the European Union to absorb more exports under their Economic Partnership Agreement (Epa). Speaking at the second EU-Kenya Business Forum in Nairobi this week, the Cabinet Secretary for Investment, Trade and Industry, Lee Kinyanjui, said that Kenya is seeking to expand its exports to the EU’s 27 member states by leveraging its horticultural and textile sectors, both of which have been affected by the Trump tariffs.
- Kenya eyes $155mln from sale of stake in parastatals
Last year, the CMA said rising interest rates made investors shift to high-yielding government bonds from the equities market. Kenya’s National Treasury is looking to raise up to Ksh20 billion ($155 million) from listing of state-owned corporations on the Nairobi Securities Exchange (NSE).
Uganda
- Uganda signs $800 million financing deal with Islamic Development Bank
Uganda has signed a $800 million financing agreement with the Islamic Development Bank to support projects, including a planned railway, that aim to boost the landlocked east African country’s trade, its finance ministry said. Other projects to be financed under the three-year deal will be in sectors such as health, transport and energy infrastructure.
- Uganda’s central bank holds policy rate, citing inflation risks
Uganda’s central bank kept its key lending rate at 9.75% for the third monetary policy meeting in a row on Tuesday, citing heightened global risks to the inflation outlook. Core inflation rose to 3.9% in annual terms in April from 3.6% in March, moving closer to the bank’s medium-term target of 5%. Bank of Uganda Governor Michael Atingi-Ego said the Monetary Policy Committee considered the current policy stance appropriate to keep inflation on target while supporting sustainable economic growth.
Southern Africa
South Africa
- South African rand near five-month high before Trump meeting
The South African rand was steady on Wednesday, trading near a five-month high an hour before President Cyril Ramaphosa was set to meet U.S. President Donald Trump to try to improve relations.
- South Africa wants $100 a barrel oil before selling more crude stocks
South Africa will wait for global oil prices to rise to around $100 a barrel before selling more of its strategic crude reserves, a senior energy official told Reuters.
- South Africa makes only minor adjustments in third budget try
South Africa made only minor adjustments to its spending plans and deficit projections in a third budget presented on Wednesday that was overshadowed by a meeting between its president and U.S. leader Donald Trump later in the day.
- South Africa inflation rises slightly in April on food costs
South Africa’s inflation rose marginally in April due to higher food prices but remained below the central bank’s target range, statistics agency data showed on Wednesday. Headline consumer inflation stood at 2.8% year-on-year last month compared with 2.7% in March (ZACPIY=ECI), while in month-on-month terms, inflation was at 0.3% in April from 0.4% in March (ZACPI=ECI).
- South Africa’s Investec plans $139 million share buyback
South Africa’s Investec (INLJ.J), intends to execute a 2.5 billion rand ($139.2 million) share buyback over the next 12 months, the wealth manager’s CEO, Fani Titi, said on Thursday.
- South African rand stable after fraught Ramaphosa-Trump meeting
South Africa’s rand was steady for most of Thursday’s trading session, as markets tried to digest U.S. President Donald Trump’s Oval Office ambush of South African leader Cyril Ramaphosa, which overshadowed the country’s budget presentation.
Namibia
- Namibia contributes 0.5% to Africa’s N$34.3tn debt
Namibia’s N$164 bn-contribution to Africa’s total debt is a drop in the ocean, standing at 0.478% of the continent’s N$34.3-trillion debt. To address Africa’s debt burden, African leaders and financial experts convened last week for the inaugural African Union Debt Conference in Lomé, Togo, held under the theme ‘Africa’s Public Debt Management Agenda in Restoring and Safeguarding Debt Sustainability’.
- Finance Ministry tasked with creating a climate finance plan
As the world battles with climate change, climate financing has become a priority for many governments, and the Ministry of Finance has been tasked with establishing a framework to encourage private sector investment in climate change initiatives.
Botswana
- IMF projects -0.4% growth for Botswana economy in 2025
Botswana’s economy is projected to grow by -0.4 percent in 2025, marking a second consecutive year of economic decline, according to the latest World Economic Outlook by the International Monetary Fund (IMF).
Angola
- Angola holds key rate for sixth straight meeting
Angola’s central bank kept its main interest rate unchanged for the sixth meeting in a row on Wednesday, citing global economic uncertainty despite a slowdown in domestic inflation.
Central Africa
Cameroon
- Cameroon’s Public Debt Faces Significant Risk from Currency Volatility, With 40% Directly Exposed
Cameroon’s public debt portfolio faces significant exposure to foreign exchange fluctuations, with 68.5% of the country’s debt denominated in foreign currencies, according to data from the Autonomous Sinking Fund (CAA), the nation’s public debt manager. Of this foreign currency-denominated debt, the CAA states that 40% has “effective exposure to exchange rate fluctuations,” noting that 28.5% of the debt is denominated in euros, which maintain a fixed parity with the CFA franc.
- Cameroon Spends 82 Billion CFA Francs on Debt Interest in Q1 2025
Cameroon disbursed a total of 321.9 billion CFA francs to service its debts in the first three months of 2025, according to a public debt status report recently released by the Autonomous Sinkig Fund (CAA). Of this amount, 82 billion CFA francs represented interest payments. These interest payments alone account for 82% of the funds required for the rehabilitation of the Lagdo Dam, the sole infrastructure of its kind in the northern region of the country.
