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The Bank of Central African States (BEAC; Banque des États de l’Afrique Centrale) is central to all financial initiatives and regulations in the The Economic and Monetary Community of Central Africa (CEMAC; Communauté Économique des États de l’Afrique Centrale) zone. There are 29 banks operating in the CEMAC region (Cameroon: 10; Central African Republic: 3; Chad: 5; Congo: 4; Equatorial Guinea: 3; Gabon: 5). The central bank has been instrumental in promoting financial inclusion and modernizing payment systems across all member states. While BEAC has demonstrated an increasing interest in digital financial advancements, such as fostering interoperability of payment systems and strengthening regional financial stability, it has not introduced a dedicated regulatory framework for open banking.
The lack of an open banking framework presents an opportunity for CEMAC countries to leapfrog traditional banking challenges. By implementing structured data-sharing policies, BEAC could encourage collaboration among financial institutions, boost competition, and foster economic growth through inclusive financial services. Additionally, existing mobile money platforms could serve as a foundation for broader digital financial integration.
If open banking were to be adopted, BEAC is likely to play a significant role in regulating and standardizing its implementation across the six states, ensuring consistent application and facilitating cross-border financial activities.
Cameroon
Cameroon has one of the most advanced financial sectors within CEMAC, hosting the majority of the region’s bank accounts. However, like the rest of the region, it lacks specific open banking frameworks. Innovations such as mobile money services (e.g. MTN MoMo, Orange Money) dominate financial services, and these could serve as a foundation for future open banking initiatives.To support the fintech ecosystem, the BCT has also launched a sandbox environment, allowing fintech companies to test innovative products before they are made widely available in the market.
If Tunisia adopts a regulatory-led approach, it is expected that its Central Bank would spearhead the implementation and regulation of open banking, setting the necessary guidelines and standards for data sharing and API integration.
Chad
Chad’s financial sector is underdeveloped, with limited banking penetration and a heavy reliance on cash and other informal financial systems. Banking services are largely inaccessible outside urban areas, and only 7% of Chadians have access to financial services and thus resort to these informal systems such as hawala or loan sharks.
While BEAC reforms aim to increase financial inclusion, Chad faces significant infrastructure challenges, which could delay the adoption of open banking.
Despite the implementation of the Government of Chad’s National Financial Inclusion Strategy (2019-2024), Most of the 115 registered microfinance institutions in the country continue to face enormous difficulty in meeting the needs of marginalized groups, particularly small businesses, owing to a lack of infrastructure, capacity and reliable technological solutions.
Central African Republic (CAR)
CAR is among the least developed financial sectors in the region, with a banking system limited in size and available services. It has prevalent challenges including political instability, underdeveloped financial systems, and limited digital infrastructure. For now, BEAC’s efforts are focused on stabilizing the financial system rather than implementing new frameworks.
Equatorial Guinea
Equatorial Guinea relies heavily on its hydrocarbon economy, with limited progress in financial digitization. Open banking is not currently on the agenda, as efforts are centered on expanding mobile money services and integrating the digital financial ecosystem through BEAC reforms.
Gabon
Gabon has a relatively advanced financial system compared to its regional counterparts. The country dominated by a relatively small but sound banking sector that focuses squarely on the formal sector. Gabpm has embraced digital innovation, in line with BEAC’s goals, offering potential for early adoption of data-sharing frameworks in the near future.
Republic of Congo
The Republic of Congo shares the region’s challenges of low banking penetration and reliance on cash transactions. The banking sector is highly concentrated and lags behind regional peers. Growth and innovation within the sector appear most salient in mobile money services, driven by regional telecom operators. While digital payments are growing, the infrastructure needed for open banking remains underdeveloped.
Challenges to Open Banking in the Region
Opportunities for Open Banking
Despite these prevalent challenges, the region still stands to benefit from open banking, should it become a reality. The BEAC’s leadership could enable cross-border payment systems and financial harmonization. Open banking could also bring financial services to underserved populations by leveraging on the existing mobile and digital platforms.
A regional open banking framework could stimulate fintech innovation and competition within the CEMAC zone.
Looking Ahead
While open banking is still a distant reality for the CEMAC region, the groundwork laid by BEAC’s efforts to promote financial inclusion and digital payments could facilitate its eventual adoption. Each country faces unique challenges, but a unified approach under BEAC’s guidance could offer significant opportunities for modernization and economic integration.
Important Links
Open Banking Nigeria (Open Technology Foundation) is a non-profit backed by a group of industry experts across banking, fintech, risk management, and more to drive and launch the open banking standard in Nigeria.
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