Latest news with #COMESA
Daily News Egypt
06-07-2025
- Business
- Daily News Egypt
CBE hosts regional training on stress testing for COMESA central banks
In line with presidential directives to strengthen Egyptian-African integration, and as part of its ongoing cooperation with the COMESA Monetary Institute (CMI), the Central Bank of Egypt (CBE) hosted a five-day training programme on 'Micro and Macro Stress Testing for Central Banks.' The sessions were held at the Egyptian Banking Institute (EBI) in Cairo. The programme reaffirmed the CBE's pioneering role in promoting financial integration across African central banks. It brought together 28 participants from 11 COMESA member states, along with a delegation from the CMI. The sessions featured in-depth discussions, case studies, and practical applications of stress testing models used to assess credit risk, liquidity, climate change, and interbank contagion risks. Naglaa Nozahie, Advisor to the Governor for African Affairs, stressed the importance of such initiatives in enhancing the crisis management and systemic risk assessment capabilities of African central banks. She reaffirmed the CBE's commitment to capacity building and collaboration across the continent—particularly within the COMESA region—highlighting that this marks the twelfth consecutive year the CBE has provided training for COMESA central banks. Dr. Ahmed Sahloul, Assistant Sub-Governor for the Macroprudential Sector at the CBE, underlined the value of stress testing in evaluating the impact of macro-financial and geopolitical shocks on banking sector resilience. He noted that such tools are increasingly vital for assessing emerging risks, including those related to climate change and cybersecurity. Stress test results, he added, offer crucial insights that guide policymakers in enhancing financial stability and ensuring robust financial intermediation. Lucas Njoroge, Director of the COMESA Monetary Institute, expressed appreciation for the CBE's sustained efforts in supporting the capacity-building agenda for central banks in the region. He also voiced optimism for further collaboration between the CBE and CMI in the years ahead. The programme, led by experts from the CBE's Offsite Supervision and Macroprudential sectors, featured interactive sessions that encouraged the exchange of technical expertise and peer learning among participants. These engagements focused on addressing current challenges and devising practical applications of stress testing frameworks within central banks. At the programme's conclusion, participants formulated a set of proposals and recommendations aimed at deepening the integration of stress testing into central banking operations across COMESA. These recommendations will be presented for discussion during the annual meeting of COMESA central bank governors, scheduled to take place in Uganda in November 2025.
bnok24
06-07-2025
- Business
- bnok24
Central Bank of Egypt Hosts a Training Program on Micro and Macro Stress Testing for COMESA Central Banks
In line with the presidential directives to promote Egyptian-African integration, and within the framework of ongoing cooperation between the Central Bank of Egypt (CBE) and the COMESA Monetary Institute (CMI), the CBE hosted a five-day training program on 'Micro and Macro Stress Testing for Central Banks' at the Egyptian Banking Institute (EBI) in Cairo This program reflected the CBE's leading role in achieving integration among African central banks. The training program included 28 participants representing 11 Central Banks from COMESA Member States, along with a delegation from the CMI. The sessions featured discussions, practical examples, and the sharing of expertise on micro and macro stress testing using standard models. Moreover, the training covered applications of stress testing tools in credit risk, liquidity, climate change, and interbank contagion risks On this occasion, Dr. Naglaa Nozahie, the Governor's Advisor for African Affairs, emphasized the importance of such training programs in enhancing the capacity of Central Banks to address crises and assess systemic risks. She also underscored the CBE's commitment to building the capacity of Central Banks' staff across Africa and strengthening joint cooperation with countries across the continent, particularly within the COMESA region. This marked the 12th consecutive year of training programs provided by the CBE for COMESA Central Banks' staff Furthermore, Dr. Ahmed Sahloul, the Assistant Sub-Governor for the Macroprudential Sector at the CBE, highlighted the significance of conducting micro and macro stress tests to assess the effects of various macro-financial and geopolitical shocks on the banking sector's performance and resilience. Moreover, stress tests can be employed to assess the impact of emerging risks, such as climate change and cybersecurity risks. Ultimately, the stress tests results can be used to guide policymakers to implement appropriate measures that strengthen the role of the banking sector in financial intermediation, and thereby safeguarding financial stability From his side, Dr. Lucas Njoroge, Director of COMESA Monetary Institute, expressed his gratitude to the CBE for its continuous contribution to building the capacities of COMESA Central Banks, highlighting the Institute's aspiration for further collaborations with the CBE in the coming years The training program, which encompassed lecturers from the Offsite Supervision and Macroprudential sectors, featured interactive sessions for the exchange of expertise among representatives of COMESA Central Banks. These sessions aimed to address current challenges and potential solutions, as a practical exercise in applying stress tests and their regulatory frameworks within central banks At the end of the program, a set of proposals and recommendations were formulated to deepen the understanding of how stress tests can enhance the operations of COMESA Central Banks. These recommendations will be discussed at the level of central bank governors during their upcoming annual meeting in 'Uganda' in November 2025 Google News تابعونا على تابعونا على تطبيق نبض
Zawya
01-07-2025
- Business
- Zawya
A currency stability that is unique in Africa
Ahmed Osman Ali,Governor of the Central Bank of Djibouti What are the main competitive advantages of Djibouti's banking and financial framework? Djibouti offers a liberal framework, with no exchange controls, and a strong and stable currency governed by the currency board system. Pegged to the dollar since 1949, our currency, the Djibouti franc, ensures a stability that is unique in Africa, and total convertibility. This monetary system facilitates exter- nal transactions and reassures investors, as well as entrepreneurs and individuals, about the movement of capital and cur- rencies. To this framework should be added Djibouti's exceptional political stability and its membership of regional and conti- nental organisations such as IGAD (Inter- governmental Authority on Development); COMESA (Common Market for Eastern and Southern Africa); and the AfCFTA (African Continental Free Trade Area). How many banks are currently operating in Djibouti and what are their nationalities? Djibouti has 12 banks, with national and international capital, notably of French, Ethiopian, Moroccan, Chinese, Bahraini and Yemeni origin. An Egyptian and an Australian bank will soon be setting up. How has Djibouti's banking sector evolved over the last two decades? The real change began in 2004-2005. Before that, the legal framework inher- ited at independence limited banking ex- pansion. So we revised the regulations, cleaned up the sector and liquidated the non-compliant banks. Thanks to these reforms and to Dji- bouti's economic performance, the sec- tor has grown from two banks in 2006 to 12 today, with new projects to create financial institutions in the pipeline. The level of banking penetration re- mains relatively low in the country. What initiatives are underway to increase it and improve access to financial serv- ices? The rate of access to banking services has risen from 7% in 2005 to 32% today. We have introduced incen- tives – such as the obligation, by Presidential Decree, for companies to pay any salary over 40,000 francs via a bank account. However, obstacles remain, particularly due to the significant weight of the informal economy. To remedy this, we have introduced microfinance structured around cooperative models, with much more flexible account-opening conditions to enable the informal sector to gradually access finan- cial and banking services. Islamic banks are playing an increasing role in the economy. What is special about them and how are they evolving? Islamic banks meet a specific need, be- cause a large part of the population is Muslim and prefers to avoid banking prod- ucts involving interest rates for reasons of shariah compliance. In 2006, we introduced the Islamic Finance Act to enable them to enter the market. Today, there are three and they represent about 20% of the banking mar- ket. Their expansion is promising and, in the long term, they could play a key role in the financing of public infrastructure, par- ticularly through participative financing mechanisms and others that are broader than universal banks. How can Djibouti serve as a springboard for banks wishing to establish themselves in the subregion? Djibouti is banking on the opening up of markets, and regional and continental integration, to overcome the constraint of market size. The banks in this country are closely following developments in the regional banking sector, particularly in Ethiopia, which is undergoing rapid change and liberalisation. This dynamic represents a major op- portunity for national financial institu- tions which, if the process continues, could capture a share of this market of more than 120m people. Djibouti also offers a competitive and attractive banking environment that complies with the convergence criteria of the COMESA roadmap, which could lead to the creation of a single regional currency, thus consolidating our role as a financial hub. More broadly, Djibouti serves as a springboard for banks wishing to establish themselves in Africa in general and East Africa in particular. What are the main challenges ahead? The main challenges remain achieving the objectives in terms of financial inclu- sion, modernisation of payment methods, digitisation, supervision and compliance with international standards – whether in relation to the management and supervi- sion rules of Basel for universal banks, of the IFSB (Islamic Finance Services Board) for Islamic banks and the FATF (Financial Action Task Force) standards for the eco- nomic, legal and financial environment of Djibouti. And for each of these objectives, we have a precise roadmap. Financial inclusion and compliance will take off considerably in the very near future with the digitisation of payment methods and current transactions. It should be remembered that we had already taken a big step forward in 2022 with the introduction of the real-time gross settlement (RTGS) system and the ACH (Automated Clearing House), which connects all banks with the Central Bank via a closed and secure circuit. Djibouti recently submitted its FATF assess- ment. What is the initial feedback? As a reminder, Djibouti joined Gafimoan (Groupe d'Action Financière du Moyen- Orient et de l'Afrique du nord [Middle East and North Africa Financial Action Task Force]) in 2018. And, in preparation for the evaluation of its system by its peers, it first conducted its own national evalu- ation in 2022 to adjust its response to the threats it faces. In accordance with Gafimoan proce- dures, Djibouti has begun the process of mutual evaluation of its AML/CFT (anti- money laundering and combatting the financing of terrorism) system, conducted under the aegis of Gafimoan evaluators, which was completed with the adoption of the mutual evaluation report from 17 to 21 November 2024 in Riyadh. Gafimoan therefore analysed the legal and regulatory provisions in force in Dji- bouti to determine what constitutes the law for suppressing financial crimes in accordance with the 40 FATF Recommen- dations and their effective implementation; to find out whether or not Djibouti identi- fies, prosecutes and punishes violations of the law committed on its territory by those subject to it; and also, whether Djibouti participates in international cooperation to suppress financial crimes at the inter- national level, and to what extent. Gafimoan concluded that Djibouti has a solid AML-CFT framework that is broadly in line with the standards established by the international community, but that it is largely the result of recent reforms. After the FATF assessment, what are the main areas identified for improvement? The first practical achievement follow- ing this evaluation was the establishment of an operational organisation, with six technical sub-committees responsible for the various risk areas; and the approval of a national strategy to combat money laundering and the financing of terrorism, which included some sixty objectives. The FATF evaluation highlighted a number of recent improvements, such as the establishment of the National Financial Intelligence Agency, now an independent authority responsible for AML/CFT, the development of a national risk assessment and the complete overhaul of the legal and regulatory corpus of AML/CFT in line with international best practices. Collaboration between the various state agencies has been strengthened. There is better risk management within the financial sector and, above all, signifi- cant progress among players in the non- financial sector, such as lawyers, notaries and other regulated professions. We have adopted a new AML/CFT strat- egy where the responsibilities and actions incumbent on all stakeholders have been updated and focused on the expected re- sults to raise Djibouti's rating from en- hanced monitoring to normal monitoring during the current year. What does the appointment of Djibouti's Minister of Foreign Affairs as head of the AU Commission mean? This recognition, beyond its prestige, con- solidates Djibouti's position as a leading regional logistics platform and a major regional economic centre in the making. n 'The convergence criteria of the COMESA roadmap could lead to the creation of a single regional currency, thus consolidating Djibouti's role as a financial hub.' © Copyright IC Publications 2022 Provided by SyndiGate Media Inc. (
Zawya
13-06-2025
- Business
- Zawya
East African Community (EAC), Common Market for Eastern and Southern Africa (COMESA) sign Memorandum of Understanding (MoU) to strengthen cooperation in competition and consumer protection
The Common Market for Eastern and Southern Africa (COMESA) Competition Commission (CCC) and the East African Community Competition Authority (EACCA) have signed a Memorandum of Understanding (MoU) aimed at enhancing cooperation in the enforcement of competition and consumer protection laws across their respective Member States The MOU sets out modalities through which the two regional agencies will cooperate and coordinate their activities in regard to cross-border competition and consumer protection enforcement, among other matters. The MOU further facilitates information sharing particularly during joint investigations, which shall be prioritized so as to safeguard the competition process and protect consumers in the region. The MOU also provides for cooperation and coordination in carrying out market inquiries and studies, technical assistance and capacity building as well as address the potential duplication in enforcement, thereby creating certainty and predictability in the market. Under the MoU, the two agencies have set up focal points tasked with coordinating and monitoring implementation of the prioritized activities through annual work plans. The two institutions have also committed to review various complementary regulations and guidelines to ensure they are fit for purpose. Speaking during the ceremony, Ms. Stellah Onyancha Ag. Registrar of the EAC Competition Authority said the signing of the MoU marks a significant step towards strengthening collaboration and promoting fair competition within the regional landscape. She commended CCC for its commitment and consistent support to the EACCA since its establishment in 2016 in terms of providing technical expertise on prioritization during its commencement, induction/capacity building for EACCA Commissioners, and assistance in the review of the merger guidelines of the EACCA, among others. 'I am confident that the MOU will further solidify the strong ties that already subsist between the EACCA and CCC, foster closer and more productive collaboration and enable the two agencies to contribute to the effective enforcement of their respective regional competition laws' On his part, Dr. Willard Mwemba, Chief Executive Officer of the COMESA Competition Commission said the MOU is a milestone at the end of what has been a long journey involving several negotiation meetings between two competition authorities in an effort to marry concurrent laws and activities.'It is our hope as COMESA Competition Commission that the signing of this MOU will enhance certainty to business merging within the COMESA and EAC Region, increase detection of cross border anti-competitive practices and consumer violations, and lead to enhanced cross border enforcement' CCC, a regional competition and consumer protection agency was established by the COMESA Competition Regulations of 2004 while EACCA, an institution of the EAC, was established by the EAC Competition Act, 2006. The CCC regulates competition and consumer protection matters in twenty-one (21) COMESA Member States while EACCA exercises the same mandate in eight (8) Partner States. Six (6) of the Partner States of the EAC have membership in COMESA. Distributed by APO Group on behalf of East African Community (EAC).
Egypt Today
21-05-2025
- Business
- Egypt Today
FM affirms Egypt's commitment to stronger ties with Malawi
CAIRO – 21 May 2015: Minister of Foreign Affairs, Emigration and Egyptian Expatriates Badr Abdelatty met with Malawi's Foreign Minister Nancy Tembo in Brussels on the sidelines of the Africa–EU Ministerial Meeting. During the talks, Abdelatty reaffirmed Egypt's interest in expanding cooperation with Malawi in areas including development, health, and transport, according to a press release by the foreign ministry. He confirmed Egypt's readiness to support Malawi's national plans through capacity-building programs run by the Egyptian Agency for Partnership for Development, as well as through joint development projects involving Egyptian public and private sector entities. The top diplomat also proposed increased cooperation in healthcare and transport and encouraged stronger trade ties through the COMESA framework and the African Continental Free Trade Agreement. Additionally, Abdelatty stressed the importance of continued consultation on African priorities and the need for unified African positions on global issues.
