CENTRAL AFRICAN REPUBLIC : Afriland First Bank Receives COBAC Approval to Enter the Market

(LVDE) – The recent authorization granted by the Central African Banking Commission (COBAC) marks a strategic turning point in Afriland First Bank’s regional expansion. Issued within the framework of the single banking license of the Economic and Monetary Community of Central Africa (CEMAC), this decision will enable the financial institution to strengthen its influence across the sub-region.

The approval granted by COBAC for Afriland First Bank to establish operations in the Central African Republic (CAR) represents a significant step forward in the regional dynamics of financial services. Taken during an ordinary session held in Libreville, the decision authorizes the bank to open a branch with an initial capital of CFAF 2.153 billion. This initiative falls under the implementation of the single banking license, an innovative mechanism designed to facilitate the operations of licensed banks within the Economic and Monetary Community of Central Africa (CEMAC).

Afriland First Bank, of which 73.86% of the capital is controlled by Afriland First Group led by Paul Fokam Kammogne, aims to establish a strong foothold in the Central African market, considered one of the least developed within CEMAC. Currently, the CAR has only four commercial banks, while the banking penetration rate stands at just 7% for a population of around 6 million. This low-competition environment offers a significant opportunity for Afriland, even though established players such as BGFIBank and Ecobank already serve as benchmarks.

As part of its market entry strategy, Afriland First Bank plans to primarily target the Cameroonian community active in key economic sectors, as well as Cameroonian entrepreneurs already established in the CAR. According to its projections, the bank expects to mobilize nearly CFAF 1.93 billion at the start of operations, representing about 0.5% of a total market estimated at CFAF 385.5 billion by 2026. In the longer term, Afriland aims to reach a 10% market share in deposits by 2030.

COBAC’s approval is a key factor in strengthening Afriland First Bank’s regional presence. The bank is no stranger to expansion: in September 2025, it also received authorization to open branches in Chad and Congo. Once established in the CAR, Afriland will therefore be present in four of the six CEMAC countries, underscoring its determination to reclaim a prominent position in the regional banking landscape after several painful withdrawals in recent years.

Afriland’s past has been marked by challenges, including the loss of its last active subsidiary in CEMAC in 2021, when CCEI Bank Equatorial Guinea was taken over by the state. The group subsequently exited Uganda in 2022 and faced the nationalization of its holdings in the Democratic Republic of the Congo. However, optimism appears to be returning with the recent green light from COBAC.

Other Cameroonian financial institutions are beginning to follow suit. CCA Bank, for instance, has recently expressed its intention to deploy its services in Chad by applying for a similar license. In addition, Bank of Africa (BOA) Congo and Wafacash Central Africa have also obtained authorizations to open branches in the region, highlighting a broader trend of openness and growth across the sub-region.

Overall, Afriland First Bank’s expansion into the Central African Republic could provide fresh momentum for its development, opening the door to significant growth opportunities while contributing to improved banking services in a country that remains largely underbanked. This decision could prove strategic not only for the bank, but also for the local economy as a whole.

Sorelle Ninguem