Cobac places Afib SA microfinance under provisional administration

Written by admin

The Central African Banking Commission (Cobac) informs the general public that by “Cobac decision D-2019/053 of August 01, 2019” I’Association of Business Leaders for Finance and Business SA (Afib) is placed under provisional administration. The Commission has not explained the reasons for this provision. However, according to a well-informed source contacted by EcoMorningwho wished to remain anonymous, microfinance Afib SA is currently facing managerial and financial difficulties.

>> Read also – Finances: microfinance concerns the State

In an attempt to redress this microfinance institution (EMF), the policeman of the banking sector of the CEMAC zone indicates in his note that Paul Ngono Essimilegal financial expert, has been appointed provisional administrator of theAfib SA. The length of his term has not been specified.

According to another source, AFIB SA is a second category EMF with a capital of CFAF 674,444,000 approved by the Ministry of Finance (Minfi). Created in 2007, it has set itself the goal of participating in the financing of the activities of small and medium-sized enterprises (SMEs). In particular the financing of public contracts and the strengthening of working capital. In addition, it is committed to offering its customers other services such as: savings, account domiciliation, money transfer, currency exchange, among others. The Association has three agencies in Cameroon (Yaoundé, Douala and Bafoussam).

Moreover, setting theAfib under provisional administration adds to the list of MFIs in difficulty in Cameroon. Indeed, like Comeci, Cofinest, Credit of the Gulf or Fiffa, which have gone bankrupt in recent years. The bankruptcy of these MFIs is still fresh in the memory of the thousands of savers affected.

In order to reverse this trend and better regulate the management of microfinance institutions in the CEMAC zone, in 2018 COBAC adopted new regulations governing microfinance activity, with which institutions subject to it must comply by 2020 at the latest. This new regulatory system, put in place with regard to the “need to structure this booming activity, in order to facilitate more effective supervision”, according to the explanations of the Cobac, is more rigorous in terms of control, management, profile of the leaders and constitution of the minimum capital

>> Read also : the CBC among the new banks enlisted to mobilize funds

In the opinion of many experts, this device could lead to the closure of many microfinance institutions in the sub-region, the new rules enacted by COBAC not being able to be followed by all the actors, among whom there are many adventurers. .

Source link

About the author


Leave a Comment