Yaoundé - 29 May 2020 -

External debt cancellation: Cameroon could be relieved of XAF6,650 bln of debt

External debt cancellation: Cameroon could be relieved of XAF6,650 bln of debt
  • Comments   -   Wednesday, 01 April 2020 14:42

(Business in Cameroon) - At the end of the 3rd extraordinary meeting of the steering committee of the CEMAC Economic and Financial Reforms Programme (Pref-Cemac), CEMAC Ministers of Economy and Finance suggested member countries should collectively negotiate the cancellation of all their external debts.

If implemented and successful, this cancellation could relieve Cameroon of about XAF6,650 billion of external debts (if to consider the last available figure from the Ministry of Finance).

According to the Ministry, 25.7% of those debts are concessional loans, 57.6% non-concessional loans and 16.7% are budget supports.

Following the cancellation, the remaining debts to be paid by the country will be domestic, estimated by the Ministry of Finance at XAF1,942 billion (XAF1,979 billion according to the National debt commission) and XAF37 billion as government debt.

According to the Ministry of Finance, on December 31, 2019, the outstanding Public and publicly guaranteed debt was XAF8,424 billion (XAF8,650 billion, according to the national debt commission). It represented about 37.3% of GDP while at end-2015, it was XAF5,039 billion, representing 30% of GDP.

The ministry explains that this 67.2% rise over the past five years is notably due to the disbursements of statutory advances granted by development partners (IMF, World Bank, AfDB and France) in the framework of the economic and financial programme signed with the IMF and the acceleration of major infrastructure projects.

Sylvain Andzongo

Chinese telecom firm Huawei has deployed the platform "Learn On" to ensure the continuation of its certification programs in Cameroon. This was revealed...
In Cameroon, the consumer price index rose to 2.6% in the first quarter of 2020, according to a recent note published by the National Institute of...
Since 27 May 2020, the upper bound of the average price per kilogram of cocoa beans in Cameroon has fallen to XAF1150. Compared to the average of XAF1200...
On May 27, the CEO of Nexttel reacted to the strike notice published on May 22 by the union Syntic. "Dear employees of Viettel Cameroun SA (Nexttel), I...

Mags frontpage

Business in Cameroon n87: May 2020

Roads, dams, fiber optics, markets... Cameroon’s big projects toward integration

«Central Africa is facing enormous challenges» - AfDB

Investir au Cameroun n97 Mai 2020

Routes, barrages, fibre optique, marchés… Les grands chantiers camerounais de l’intégration

« L’Afrique centrale est confrontée à d’énormes défis » (BAD)