Africa is moving towards a single central bank [Business Africa]

 

At a major summit in Yaoundé, 41 central bank governors from across the continent gathered to discuss climate-related financial risks and strengthen monetary cooperation. The meeting also relaunched plans for further integration under the auspices of the African Monetary Institute (IMA), which is expected to pave the way for the African Central Bank by 2026.

Leaders highlighted the growing urgency for coordinated financial governance, as climate impacts —ranging from droughts to floods— put increased pressure on national budgets and banking systems.

Although the African continent remains marked by a great diversity of macroeconomic realities, this renewed dynamism reflects a shared commitment to long-term stability, resilience and a unified economic strategy.

Zambia achieves its first rating improvement in five years

After years of debt crisis, the Zambia achieved its first credit rating improvement by S&P Global Ratings since August 2019 — an important step for a country which defaulted on its external debt in 2020.

S&P raised Zambia's sovereign rating to CCC+, citing progress in debt restructuring and an improvement in debt macroeconomic management. The move marks a cautious but significant return to investor confidence and could help unlock new financing opportunities.

To analyze the scope of this improvement, the credit rating expert Stanislas Zeze, CEO of Bloomfield Investment Corporation, shared several key points.

He notes that a better rating could help Zambia attract more foreign investments, particularly in capital-intensive sectors such as energy, mining and infrastructure. With greater visibility into Zambia's debt sustainability, investors are more likely to engage in long-term projects requiring predictable financial conditions.

Zeze also highlights a broader lesson for African economies like the Ivory Coast : Political commitment and transparency in the restructuring process are essential to speed up negotiations with creditors.

Another major point is the importance of obtaining credit ratings in local currency, which many African countries continue to neglect. A local currency rating helps governments raise funds in domestic markets, reduces exposure to exchange rate volatility and supports the development of deeper capital markets — essential tools for sustainable financial independence.

Ghana: inflation and low cedi weigh on consumers

As the Christmas period approaches, markets in Ghana are surprisingly calm. Rising inflation and weakening cedi have driven up property costs, forcing many families to cut holiday spending.

Merchants in Accra and Kumasi report a drop in attendance and sales volume compared to previous years. For many households, essential products such as rice, poultry, cooking oil and imported goods have increased sharply — straining budgets already burdened by transport and housing costs.

This drop in spending is causing concern among local businesses, many of which rely heavily on year-end sales to remain viable. For now, traders and consumers are hoping for some relief as the government continues its efforts to stabilize the currency and contain inflationary pressures.