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, the Angolan kwanza (AOA) held steady at AOA912/$, supported by sustained central bank interventions, steady forex inflows, and a tight monetary policy stance. The National Bank of Angola has maintained its benchmark rate at 19.5% since May 2024, helping to anchor inflation expectations and currency stability. The AOA is expected to remain stable, supported by steady forex inflows and a firm monetary stance; however, lingering volatility in the oil market continues to weigh on its outlook. Stears projects the AOA to end Q2 2025 at AOA911.7/$.
The Central African CFA franc (XAF), used by six CEMAC countries, depreciated by 0.3%, closing at FCFA572.6/$. The XAF depreciated as the Euro weakened amid cautious US. geopolitical signalling and diverging monetary policy paths between the ECB
