Congo - Banking - The Congolese banking and financial system

All banks engage in universal banking activities. Despite a strong presence of banking players, the banking penetration rate remains very low. Foreign banks control nearly 90% of the market.

Position

Reference

Space not available

Reserve this advertising space

Selected ad format

The file format is not recognized

Click here for
upload an ad

Click here to download
an announcement

Here drag and drop or
upload an ad

Send the ad up to 8 days after payment
A link will be sent to you by contact@via-agency.media

Reserved space
Announcement transmitted

If you want another location, you can move this ad

Reference

With ten active credit institutions (excluding microfinance institutions and development banks), we distinguish: pan-African groups (UBA, EcoBank, BGFI Bank); Moroccan groups (LCB, CDCO, BCI) and Congolese banks including BSCA Bank, Banque Postale, BCH and BESCO. With 31,76% of market share, the Congolese subsidiary BGFI is ahead of LCB (13,9%) and Crédit du Congo (11,31%) – CDCO, a subsidiary of the Moroccan Bank Attijariwafa – in terms of claims on the economy.

There has been a mixed trend in the activity of the national banking system. In fact, the outstanding amount of gross credits granted to customers has seen a contraction of 5.2% to reach 1,338.1 billion FCFA as of April 30, 2023, as well as a decline in non-performing loans of 2.9%, to reach 253.4 billion.

Regarding the Central African Economic and Monetary Community (CEMAC) government securities market, the National Economic and Financial Committee (CNEF) notes that the Congolese Treasury has remained active, mobilizing financing totaling 612.9 billion CFA francs as of the end of April 2023, an increase of 37.11 T3T compared to the amount raised a year earlier. This development brought the outstanding amount of Congolese government securities to 1,857.2 billion, representing 311 T3T of the CEMAC total.

Despite a strong presence of banking players, the banking rate remains very low, 16,69% according to the Central African Banking Commission.

The Congolese banking and financial system is focused on traditional intermediation and has successfully achieved digitalization.

Position

Reference

Space not available

Reserve this advertising space

Selected ad format

The file format is not recognized

Click here for
upload an ad

Click here to download
an announcement

Here drag and drop or
upload an ad

Send the ad up to 8 days after payment
A link will be sent to you by contact@via-agency.media

Reserved space
Announcement transmitted

If you want another location, you can move this ad

Reference

The banking landscape has undergone a significant transformation, moving from a context of fragility marked by crises to a reassuring paradigm that is both solid, integrated, and increasingly systemic. The reforms undertaken include the liberalization and empowerment of the banking sector; the strengthening of supervisory, internal control, and AML/CFT measures by regulators, BEAC and COBAC; the raising of the level of share capital, in this case that of equity; the convergence or even alignment with major developments in the global financial sector with Basel standards; and the arrival of private players.

The Central Bank, for its part, is tackling the implementation of reforms undertaken in the credit sector by developing regulatory texts relating to the implementation of a directory of movable securities in the Republic of Congo. This will allow banking sector stakeholders, both clients and lenders, to receive, store, and make accessible to the public certain information relating to real movable securities. The objective of this tool is to address the asymmetry of information between borrowers and lenders and to make credit more accessible. For example, Congolese banks do not sufficiently finance the agricultural sector.

Alongside this reform, the BEAC will increase the basket of economic financing instruments, particularly leasing and factoring, which will help the private sector access loans without major constraints.