The decision to maintain the key rate of the Central Bank of Congo by the Monetary Policy Committee in May 2024, chaired by Madame Kabedi Malangu Mbuyi, is a crucial step in the management of the country’s monetary policy. This decision demonstrates a deliberate approach to maintaining financial stability and supporting economic growth.
The Central Bank of Congo justifies this decision by affirming that the economic outlook for the year 2024 remains favorable, with a growth forecast of around 5%. This projection is based on several factors, including the dynamism of the mining sector and the strength of non-extractive activities. However, the challenge of inflation remains present, with the rate having reached 23.8% year-on-year in December 2023.
Maintaining the key rate at 25% is part of an overall strategy aimed at ensuring the stability of domestic prices and the exchange rate. Indeed, the Central Bank is committed to closely monitoring developments in the country’s economy and finances, and to adjusting its monetary policy accordingly to guarantee financial stability.
It is essential to emphasize that this decision by the Monetary Policy Committee comes in a context where the Congolese economy has recorded notable growth in 2023, but where challenges persist, particularly in terms of inflation and financial pressures linked to regional conflicts.
Thus, the next meeting of the Monetary Policy Committee scheduled for August 8, 2024 is of particular importance in the pursuit of the Central Bank’s strategy to maintain financial stability and support Congo’s economic growth.
In conclusion, the decision to maintain the key rate of the Central Bank of Congo in May 2024 reflects a cautious and measured approach to current economic challenges. It demonstrates the Central Bank’s commitment to playing a key role in preserving the country’s financial stability, while fostering an environment conducive to sustainable economic growth.