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Central African Republic

A country plagued by conflict: economic development rarely gets going

The Central African Republic is a highly fragile country. Its history is characterised by coups, high instability and mismanagement. The level of social cohesion is virtually non-existent. Around the time of the presidential elections in December 2020, the country was once again rocked by armed conflicts. As a result, many people from this landlocked republic fled to neighbouring countries. Although its agriculture has significant economic potential and agriculture provides the livelihoods for around 60% of the population, the Central African Republic is one of the ten poorest countries in the world. Only very few of its people benefit from the short periods of increased economic growth. The persistent political and economic crises and the constant threat from armed factions put the population’s resilience to the test time and time again.

To improve the current situation, the Federal Ministry for Economic Cooperation and Development (BMZ) has initiated a nexus and peace partnership with the Central African Republic. It is on this basis, in collaboration with local and international partners, that KfW Development Bank is addressing the precarious situation through implementing measures in education, basic health care and the preservation of peace.

EU countries have pooled their financial support for rebuilding the Central African Republic and preserving peace into a trust fund called “Bêkou” (translation: hope). The Bêkou trust fund is designed to help alleviate the consequences of the country’s intensive civil war in 2013/2014. The fund’s investment priorities are in the resumption of community functions and in the provision of basic services for the population, especially health care services. There is a particular focus on restoring a peaceful coexistence between the various ethnic and religious population groups, improving living conditions for the many people who have had to flee their homes, and addressing the specific situation for women in a crisis context.

On behalf of the BMZ and in partnership with UNICEF, KfW Development Bank also provides financial aid for building and equipping classrooms, providing educational material, and implementing drinking water and sanitary facilities in the school environment.

Due to the constant danger from ongoing conflicts, missing workforce capacity and the government’s limited ability to act, there is a widespread lack of basic social services. For this reason, KfW supports the health care sector through the upkeep and installation of health care centres and corresponding training centres. The improvement and expansion of the existing health care system is designed to help tackle the grave health problems in the country (especially for mothers and children) and enhance basic social services.

Project information - fund Bêkou (PDF, 132 KB, non-accessible)

Further information