CEMAC Economic Health: Effects Of Rising Inflation

Central African Monetary Authorities are warning that price increases are picking up speed again across the Region. This is contained in a recent report on the evolution of inflation in CEMAC at the end of June 2026 and short- and medium-term pros­ pects for the Sub-Region. According to the mid-year evaluation report published by the Bank of Central African States (BEAC) the sub-regional inflation rate remained below the community standard of 3 per cent, averaging 1.4 per cent annually, as was the case in March 2026, after 3.5 per cent in June 2025. Year-on- year, the inflation rate increased to 2.3 per cent in June 2026, compared to 1.7 per cent a year earlier and 1.0 per cent in March 2026. This increase particularly reflects the beginning of the transmission of external shocks related to the conflict in the Middle East, but is also explained by internal factors. Internally, inflation was driven in the second quarter of 2026 by the robustness of private consump­ tion, supported by revenues from gold mining sectors (Chad, CAR) and to a lesser extent cocoa from Came­ roon. In terms of country-specific contri­ butions, year-on-year as of the end of June 2026, Cameroon with a weight of 52.3 percent in the general price index contributed 71.2 points to the sub-regional inflation. It is fol­ lowed by Congo with 22.5 points, Equatorial Guinea with 13.0, the Cen­ tral African Republic with 4.4, and Gabon with 2.5. In contrast, Chad with a -13.6 record continued to slow down regional inflation as of the end of June 2026 due to the persistence of negative inflation rates. For Cameroon just like other countries within the...