(Business in Cameroon) - This year, Cameroon’s inflation rate could increase from the 0.6% it was in 2017 but it will be less than 2%, the national institute of Statistics (INS) reveals.
The institute explains that some measures initiated by government could limit the increase in consumer prices this year. These measures are notably, the 5% tax on the export of some products (palm oil, cola nuts, acacia gum, pepper, millet, sorghum and eru), the tax exemption on the import of empty domestic gas bottle and of some pharmaceuticals. There is also the decrease of communal stamp duty from CFA600 to CFA500.
Despite these measures however, the inflation rate could stand at around 2%. This is because of the upcoming AFCON2019 (hosted by Cameroon). The INS reveals, as the event approaches, the demands could rise. Moreover, in case the disturbances in the market supply continue due to the insecurity in the northern region and an insufficient cereal production, the results of these measures could be thwarted.