Central African leaders order urgent reforms to shore up weakening economies

An extraordinary summit of Central African leaders in Brazzaville has resulted in a push for urgent fiscal and monetary measures to stabilize the region's weakening economies, including the repatriation of state assets and export revenues held abroad.

According to a communique issued after the meeting, the six heads of state agreed to immediately repatriate export revenues, with extractive industries identified as a priority sector.

Leaders also instructed governments to finalize negotiations with companies on transferring funds earmarked for environmental rehabilitation of oil-producing areas, a move that officials said would help restore liquidity in the regional banking system.

The summit, held under the Central African Economic and Monetary Community (CEMAC), comes as the region faces sluggish growth, weakening commodity prices, climate-related shocks, and tighter global financial conditions.

Last year, the Bank of Central African States (BEAC), the central bank for Cameroon, Chad, the Central African Republic, Gabon, Congo, and Equatorial Guinea, required international oil companies to place environmental restoration funds in BEAC-managed accounts—under an International Monetary Fund (IMF)-backed reform—in a move that drew industry pushback.

The funds, estimated at between $5 billion and $10 billion and currently held in foreign banks, are allocated by oil companies operating in the region to finance environmental clean-up once production ends.

In addition, leaders directed member states to accelerate economic and financial programs with the IMF and align national budgets with their commitments, particularly regarding debt sustainability and strengthening external balances.