BEAC Introduces New Coins to Alleviate Currency Challenges in Central Africa

These nations—Cameroon, Gabon, Equatorial Guinea, the Central African Republic, and Chad—have grappled with coin shortages, hindering economic activities and inconveniencing citizens.

A Bold Move: Larger Coins

In a bid to streamline currency handling, the BEAC is rolling out a new range of coins. These coins stand out due to their larger sizes, a departure from the current smaller denominations. The innovation aims to alleviate the challenges faced by microfinance institutions and banks, who have long struggled with the cumbersome nature of existing coins.

Relief for Daily Transactions

For Cameroonian traders, motorcycle taxi drivers, and taxi operators, the new coins come as a welcome relief. Daily transactions often involve handling small change, and the current coins—difficult to count and store—have posed significant hurdles. With the introduction of larger coins, these professionals can expect smoother transactions and reduced frustration.

The 200 CFA Franc Coin: A Game-Changer

Among the notable changes is the introduction of a new denomination: the 200 CFA franc coin. Its size will mirror that of the 50 CFA franc coin from the 1960s, which remains in circulation. Additionally, the composition of the new coins will shift away from noble materials, making them more durable and cost-effective.

Retaining Legal Tender Status

While the BEAC introduces the new coins, it has opted not to demonetize the old ones. The existing coins—ranging from 25 to 500 francs—will continue to hold legal tender status. This decision ensures a smooth transition and avoids disruptions in daily commerce.

A Strategic Approach

To meet the demand for the new coins, the BEAC plans to engage commercial banks in a massive order. However, the shortage of coins in the market is not solely due to supply constraints. Both credit institutions and supermarkets have been reluctant to accept coins, exacerbating the scarcity.

As Togolese citizens observe these developments, they remain cautiously optimistic. The balance between hope for improved currency handling and concerns about potential repression underscores the delicate political landscape in the region.