• CAR outlines $8.9 million recovery plan for troubled CMCA

• Plan includes recapitalization, reforms to restore stability, rebuild trust

• Regulator intervened amid governance issues and prolonged financial pressures

The Central African Republic's authorities have outlined a recovery plan for the Caisse du Crédit Mutuel de Centrafrique (CMCA), a top-tier microfinance institution facing operational and liquidity pressures.

During a visit to the institution on Friday, March 27, Finance and Budget Minister Hervé Ndoba was told by provisional administrator Jacob Mbaitadjim that the recovery plan is estimated at 5.1 billion CFA francs ($8.9 million). Mbaitadjim said the funding would restore financial stability, support day-to-day operations and put the institution on a sustainable footing.

The plan is based on recapitalization, internal reorganization and revised management practices. It also includes measures to rebuild trust with members and partners.

CMCA was placed under provisional administration by the Central African Banking Commission (COBAC). On June 26, 2025, the institution appointed Mbaitadjim as provisional administrator, tasked with assessing the institution's difficulties and implementing corrective measures. The regulator's intervention aims to contain risks and protect depositors' interests amid financial instability.

The institution's troubles stem from the economic and political crises that struck the Central African Republic in the early 2000s. The withdrawal of its main shareholder, the Agence française de développement (formerly the Caisse française de développement), reshaped its ownership structure and governance structure.

Against that backdrop, CMCA experienced governance difficulties and cash flow pressures, which eroded its financial position and prompted the regulator to step in.

Chamberline Moko