• CAR minister meets COBAC on FNGI operational rollout

• Talks seek framework, technical support, compliance with regional rules

• $18M fund targets SME credit access, reduces collateral constraints

Central African Republic Finance and Budget Minister Hervé Ndoba met the Central African Banking Commission (COBAC) on Tuesday to discuss making the National Guarantee and Investment Fund (FNGI) operational.

The talks focused on setting the framework for the fund’s rollout in line with regional rules. Ndoba requested technical support from COBAC on capital disbursement, procedural alignment and compliance with regional standards.

COBAC Secretary General Marcel Ondélé reaffirmed the institution’s role in supporting member states, stressing its mandate to safeguard financial stability and oversee financing mechanisms such as the FNGI.

Positioning the Fund Within Economic Policy

The National Guarantee and Investment Fund was launched on May 21, 2025, in Bangui with capital of 10 billion CFA francs ($18 million), including an initial contribution of 3 billion CFA francs from the World Bank.

The FNGI aims to ease access to credit for micro, small and medium-sized enterprises through guarantee mechanisms. It specifically targets lending conditions by reducing collateral requirements, addressing constraints in the credit market.

The fund comes as businesses face persistent financing difficulties. It introduces risk-sharing among financial actors and helps channel capital toward productive activities while supporting business creation.

The rollout of the FNGI could serve as a model for similar initiatives across the subregion. It forms part of broader efforts to mobilize resources and strengthen financing instruments.

Chamberline Moko