The Stears Weekly Macroeconomic Report highlights the macroeconomic trends and policy shifts shaping the African investment landscape, helping you make informed decisions in dynamic markets.
Country updates
Central Africa
Foreign exchange
Last week, Central African currencies recorded mixed performances against the US dollar, with signs of vulnerability amid renewed trade tensions. Angola’s kwanza remained stable at AOA912/$, anchored by central bank interventions and sustained foreign exchange inflows, primarily supported by oil revenues. The government’s ongoing phase-out of fuel subsidies has helped boost fiscal confidence, bolstering investor sentiment and reinforcing currency resilience. While near-term stability is likely, the kwanza remains exposed to fluctuations in global oil prices. Stears anticipates the AOA to settle around AOA912.8/$ by the end of Q3 2025.
The Central African CFA franc (XAF), the common currency of six CEMAC member countries, weakened by 0.6% w/w to trade at FCFA561.7/$, reflecting ongoing fiscal pressures across the region and a mild depreciation in the euro.
