(Business in Cameroon) - Despite CEMAC countries’ increased recourse to foreign loans (which represented 32.7% of their GDP in Q1-2020, slightly up from 31.4% of GDP in Q1-2019), their overall debts were just 46% of GDP during Q1-2020. This was revealed by BEAC, the central bank of this community space, in a report on public finances (published on October 1, 2020).
According to the report, this debt-to-GDP ratio remained within the multilateral surveillance limit during the period. It explained that this performance was possible due to the decrease in domestic debt (spurred by the measures taken by countries to clear debt arrears).
Due to the coronavirus pandemic, the volume of CEMAC countries’ debt rose again in Q2-2020. Indeed, according to figures from the BEAC, between April and June 2020, the six countries of this community space raised XAF849.5 billion on the public securities market, up by 27.2% quarter-over-quarter.