88 – Mauritania Mauritania

2006 At a Glance Population (mn) 3.2 Population Growth (annual %) 2.9

Pico de� a Gran Canaria ued D râ Gomera Teide� O 3715 m Official Language (s) Arabic Hierro Cap Juby 1949 m Las Palmas de � MAROC MAURITANIE Gran Canaria D E T I N D O H A M A D A � ARCHIPEL DES CANARIES Espagne Tindouf El Aaiún

alH am ra U F Currency Ouguiya (MRO) A s Saqu ia t t a h K I l ALGERIE a T d T e O C E A N � u E O Y

GDP (Current US$ bn) 2.8 T I 701 m G U ATLANTIQUE R E U S O M M M A K E T S A H A R A � Z N GDP Growth (annual %) 13.9 A H OCCIDENTAL H S L C E E R H Golfe� I E C ¡AMÂDA� de Cintra F T G U KÂGHE– R EL ¡ARICHA O E GDP Per Capita (US$) TT 877 U O Cap Barbas S Fdérik R 518 m Kediet� A R ej Jill� D 915 m E L H A M M Â M I A

FDI, net inflows (US$ mn) (2005) 115 MAQ–EÏR Nouâdhibou Guelb� Râs Nouâdhibou er Rîchât� 485 m Râs Agâdîr AZEFFÂLAtâr External Debt (US$ mn) 1,429 OUARÂNE IJÂFENE AKCHÂR Akjoujt

Râs Timirist SAHARA

External Debt/GDP (%) 51.6 E L M R E Tidjikja Y Nouakchott Y A O U K É Â R CPI Inflation (annual %) 6.4 TRÂRZA Boûmdeïd TAGÂNT Aleg Tamchaket

A

Rosso Sénég B al 'Ayoûn� Â Kiffa ¡ÔØ IRÎGUI

Ç el 'Atroûs Néma A

Exports of goods and services (% of GDP) 54.9 Saint Louis Kaédi '

Mbout L Timbedgha Louga E AFOLLÉ Kankossa

N iger Ferlo Sélibaby Thiès Gross Official Reserves (US$ bn) - Cap Vert Dakar MALI Diourbel KAARTA Fatick SENEGAL Kayes Mopti Gross Official Reserves (in months of imports) - GEOATLAS - Copyright1998 Graphi-Ogre UNDP HDI Ranking 153 0 km 100 200 300 400 km Source: AfDB, IMF, UNCTAD, UNDP, UN Population Division

1. overview of Financial System than 20% of GDP. In terms of size, the Générale de Bank and Non-Bank Financial Sector Banque de Mauritanie (GBM) is the largest bank, The financial sector in Mauritania comprises the considering the total balance sheet, and controls Central Bank of Mauritania (Banque Centrale de nearly 25% of bank assets and 25% of deposits. Mauritanie-BCM), ten commercial banks, eight GBM is followed by Banque Mauritanienne pour le insurance firms, two financial institutions specialized in Commerce International (BMCI) which has nearly agriculture and fisheries, 67 micro-finance institutions 20% of deposits and credits. The third bank, Banque authorized at the present time, as well as a leasing Nationale de Mauritanie (BNM) represents 19% of company. The BCM was established in 1973 by law deposits and 14% of credits, with the rest being M no. 73-113 as a legal and financially autonomous shared among the other banks. At the end of 2006, public entity. The monetary policy of the BCM aims at the Government’s holdings in the banking sector are maintaining a low and stable inflation rate. This policy limited to 50% equity position in Chinguetti Bank. is implemented through trading of treasury bills (TB) The insurance sector was reformed in the 1990s, in maturities ranging from 2-8 weeks. Clearly, BCM when the government liberalized the sector. It plays interventions in the market are geared to managing a limited role within the Mauritanian financial sector. treasury liquidity rather than financing the budget As of December 2006, seven insurance companies deficit. As of December 2006, Mauritania’s banking operate in the sector and they are in competition with sector dominates the financial system, with 88% of Nationale d’Assurance et de Réassurance (NASR), the sector’s assets held by commercial banks. At the the state-owned insurance firm. same time, bank loans and deposits represent less Mauritania – 89

2. Fixed Income Markets 4. Participation of Foreign Investors Government Securities and Issuers There is a money market that consists of treasury Mauritania’s economy has become quite liberalized bills of 8- to 24-weeks, offered through an auction and is very conducive to foreign investments, mechanism. specifically in the financial and banking sector.

Non-Central Government Issuance 5. investment Taxation There have been no corporate issuances in the Domestic and foreign investors are treated equally. Mauritanian debt market. 6. Key Contacts

3. Foreign Exchange • Banque Centrale de Mauritanie The Mauritanian Ouguiya (MRO) is a managed B.P. 623 Nouakchott, Mauritanie floating currency. Since May 2003, the Ouguiya has Tel: +222-252206, 252888 experienced big swings, between MRO 253 and Fax: +222-252759 MRO 280 per USD. Mauritania has a free exchange E-mail: [email protected] regime. In practice, the transfer of capital is handled Web: www.bcm.mr by banks. Since the sector was liberalized, banks do not need authorization from the central bank to transfer funds abroad.

MRO per unit of USD (Year End)

280

270

260

250

240 2000 2001 2002 2003 2004 2005 2006 Source: Bloomberg