Yaoundé - 19 March 2018 -

Cameroon: Even though there are twice as many Chinese SMEs than French ones, they bring less growth

Cameroon: Even though there are twice as many Chinese SMEs than French ones, they bring less growth
  • Comments   -   Friday, 19 May 2017 18:37

(Business in Cameroon) - In Cameroon, Chinese economic operators have a high tendency to create companies under general businesses (firm - Ets.), “with no huge initial investment and generating profits, however low, immediately”.

At the same time, the French rather set up companies under the public limited or private limited business concerns (76% of companies created by the French), which require a "minimum investment and are more geared towards production and thus added value, source of growth".

A report produced by the Ministry of Economy, with the technical support of the Centre of Analysis and Research on Economic and Social Policies (Centre d’Analyse et de Recherche sur les Politiques Économiques et Sociales - CAMERCAP-PARC) contained these disclosures. The same study reveals, furthermore, that between 2010 and 2015, out of the more than 40,500 companies created within the Centres de Formalités de Création des Entreprises (CFCE) in Cameroon, 389 SMEs (that is to say 27% of the companies created by foreigners) were created by Chinese economic operators. This represents more than double the SMEs set up by French nationals, during the period under review.

Indeed, we learn, French economic operators, "in spite of (their) privileged relations" with Cameroon, specifies the study, only created 180 companies over the period 2010-2015, being 12.5% of SMEs created at CFCE by foreigners; against 141 SMEs (9.8%) for Nigerian economic operators, who attain 3rd position in the hit-parade of foreigners creating companies in Cameroon.

Then the Lebanese follow, with 5.5% of companies created by foreigners between 2010 and 2015, and the Indians, who created 70 companies during the same period, being 4.9% of companies set up by foreigners in Cameroon.

Brice R. Mbodiam

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