AfDB Conducts Daily Monitoring of Major Financial Crisis Indicators

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Weekly African and Western financial markets monitoring, information on exchange rates and commodity prices is available on the AfDB Web site

AfDB Monitoring Tools

Tunis, November 19, 2008 – In order to closely monitor the global financial crisis, the African Development Bank (AfDB) Group is, from today, providing updated data.

From the commencement of the financials crisis, the AfDB has set up an interdepartmental working group to monitor the global financial crisis on the continent and across the world.

"The monitoring tools we have used – financial market analysis, exchange rates and commodity prices – are not only updated on a weekly basis, but also available to the public through our web site," says Taoufik Rajhi, Economist at the African Development Bank Group. The trends noticed have been translated into graphics which are also available on the AfDB Web site.

These indicators are for all African countries and major countries in the Americas, as well as key Asian economies, using July 31, 2008, as the year of reference.

At the level of the financial markets, AfDB monitoring tools bring out a "generalized declining trend due to a mechanic contagion," says Mr. Rajhi.

The same applies to exchange rates. Most African currencies are declining due to the dollar’s appreciation vis-à-vis the Euro, the AfDB Economist noted.

Commodity prices have also been affected by the downward trend, with a decline of 50% for oil, 45% for silver and 31% for cocoa. "The decline in commodity prices is a major cause of concern given that oil-exporting countries in particular account for more than 50% of Africa’s growth," the AfDB Director of Research,  Léonce Ndikumana, said.

The African Development Bank Group has played a key role in efforts at finding an African response to the global financial crisis by bringing together African finance ministers and central bank governors in Tunis for a conference on the crisis which took place on November 12, 2008, on the eve of the G20 Summit that took place on November 15, 2008, in Washington, DC. The AfDB is still playing a leadership role by publishing information that is necessary to African policy-makers and economists as a follow-up on the crisis.

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