Central African Republic - Balance of payments



The Central African Republic's frequent deficits in trade and services are financed mainly through international aid. In the early 1980s, the Republic faced a severe balance-of-payments problem caused by low world prices for its exports and high fuel import costs. A structural adjustment program was begun in 1986 (and further developed in 1988 and 1990) to curb the public sector and to promote private-sector investment in an effort to decrease the reliance on infusions of foreign aid. In 1998, the IMF approved a three-year structural adjustment program equivalent to $66 million (subsequently augmented and extended), which expired in 2002.

The US Central Intelligence Agency (CIA) reports that in 2000 the purchasing power parity of the Central African Republic's exports was $166 million while imports totaled $154 million resulting in a trade surplus of $12 million.

The International Monetary Fund (IMF) reports that in 1994 the Central African Republic had exports of goods totaling $146 million and imports totaling $131 million. The services credit totaled $33 million and debit $114 million. The following table summarizes the Central African Republic's balance of payments as reported by the IMF for 1994 in millions of US dollars.

Central African Republic

Current Account -25
Balance on goods 15
Balance on services -81
Balance on income -23
Current transfers 63
Capital Account
Financial Account 53
Direct investment abroad -7
Direct investment in Central African Republic 4
Portfolio investment assets
Portfolio investment liabilities
Other investment assets 8
Other investment liabilities 48
Net Errors and Omissions -15
Reserves and Related Items -13
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