The Central Bank of the Central African Economic and Monetary Community (CMAQ) has set a controversial deadline of September 30th for international oil and gas companies to comply with new foreign exchange regulations. These regulations have raised concerns among U.S. officials, who warn that they could significantly harm American companies operating in the region. Estimates suggest that by 2050, the regulations could lead to a staggering $45 billion reduction in capital investment and an $86 billion drop in government revenue across CMAQ member countries.

During a recent government meeting, Under Secretary Bass acknowledged the department's ongoing engagement with the Treasury and other agencies regarding these regulations. However, he indicated that a more detailed response would be provided later. Lawmakers expressed urgency in understanding the interagency efforts to counter these regulations, emphasizing the potential risks of driving Western companies out of the region. The discussion highlighted fears that such a vacuum could be filled by less principled foreign investors, undermining U.S. interests.

In addition to the foreign exchange regulations, the meeting addressed the pressing issue of illegal, unreported, and unregulated (IUU) fishing, particularly by Chinese fleets off the coast of Africa. This illegal activity is estimated to cost African nations around $11.2 billion annually, threatening food security and economic stability. Lawmakers pointed out that the Chinese Communist Party supports these operations through substantial subsidies, further exacerbating the problem.

Under Secretary Bass confirmed that the U.S. is actively working with African nations to combat IUU fishing and improve their maritime awareness. He expressed a willingness to collaborate on legislation aimed at enhancing the capacity of African governments to address these challenges, recognizing the national security implications of the situation.

The discussions underscore the complex interplay of economic regulations and environmental issues in the region, with significant implications for both local economies and U.S. foreign policy interests.