The Central Bank of Egypt (CBE) has announced the publication of the inaugural African Financial Stability Report, prepared under its chairmanship of the Financial Stability Report Working Group of the African Financial Stability Committee (AFSC).
The report marks the first continent-wide assessment of financial stability and aims to strengthen co-operation among African central banks on macroprudential policy.The AFSC was established in 2024 based on a proposal by CBE Governor Hassan Abdallah to the Association of African Central Banks.
Supported by two working groups and a dedicated Secretariat, the Committee held its inaugural meeting in Cairo in December 2024, in which it launched the continental initiative to enhance financial stability, improve risk monitoring and analysis, promote transparency, and support sustainable economic growth.
The report also serves as a reliable reference for investors and international institutions.
Covering 46 countries that account for approximately 85 per cent of Africa, 84 per cent of its population and 90 per cent of its GDP, the report was prepared with contributions from experts representing the Central Bank of West African States, the Central Bank of Central African States, the National Bank of Rwanda, the Bank of Mauritius, the South African Reserve Bank, the Bank of Mozambique and the Central Bank of Eswatini.
The 2024 findings show that African central banks have implemented an average of 61 per cent of international financial stability best practices.
The African Financial Stability Index reached 0.55 per cent, while the continent recorded average economic growth of 3.2 per cent.
The total assets of the African financial system stood at about 126% of the continent’s gross domestic product (GDP), with banking sector assets accounting for 80% of GDP, compared with 46% for the non-banking financial sector.
Banks represented 63 per cent of total financial system assets, maintaining strong capital adequacy of 19.7 per cent and robust liquidity levels.
The report also highlights the growing role of African capital markets, expanding digitalisation, regional payment systems, and Africa’s global leadership in mobile wallets.
