Cameroon returns to the money market of BEAC

With the publication of the calendar for the emissions in the fourth quarter of 2014, banks began to purchase, especially for the first operation planned Wednesday.

The State of Cameroon has announced its return on the money market of the Bank of Central Africa States (BEAC).

For the fourth quarter of the current year, the total amount to mobilize oscillated between 35 and 40 billion F, in accordance with the provisional timetable published by the Ministry of finance, representing the State of Cameroon in this market. The execution of this calendar starts today. The Cameroonian public Treasury wants to collect 5 billion, to be repaid in 26 weeks, i.e. April 10, 2015.

The opportunity is therefore given to savers to put their money. In this transaction, they will first receive the interests (which are discounted on the nominal value of the coupons) before touching in the next six months, the amount placed. Since it's (BTA) comparable Treasury bills, that is of short term government securities, offers start from F 1 million.

As with previous operations of the kind since 2010 on the BEAC monetary market, the 13 banks licensed to participate in the operation have begun to subscribe (at the level of the primary market) until the close of the receipt of tenders Wednesday.

Subsequently, the banks that have seen their bids may subsequently resell to their clients (at the level of the secondary market) through open securities accounts for this purpose, in the credit institutions for the management of these investments.

After Wednesday, the next operation scheduled for the month of October is scheduled to be held on the 29. At this date, the amount of the borrowing that the State will seek is set at 10 billion. These are a total of six operations scheduled for the last quarter of the year.

According the schedule, comparable Treasury bonds (OTA) is also envisaged. Usually, when the State appealed these government securities, it is to fund projects, like the 10 billion mobilized in August injected into three road works in the city of Yaoundé.

For the first time, the State will test a new maturity for these titles. Indeed, these OTA will be due within three years, i.e. in 2017. Compared to the previous three (June 2013 September 2013 and August 2014), for a period of two years with rates between 3.75 and 4%, subscribers are waiting to see at what rate they will be able to place their savings.