(Business in Cameroon) - The Cameroonian Treasury launched a new fundraising operation on the Beac public securities market. This time, and despite the not-so-friendly context, the country expects CFA15 billion through the issuance of 26-week fungible bills (BTAs).
What has been affecting Cameroon in this market, especially since the beginning of this year, is its low-interest rate policy. Indeed, investors are now more profit-oriented while Cameroon still sticks to this approach, which was adopted following the Central Bank’s decision to tighten its monetary policy.
According to our sources, the Treasury and the consortium of arrangers selected for this new fundraising have not yet reached a final agreement on the conditions of this loan, particularly the interest rates. Pressured by the market to raise its rates, Cameroon plans to launch a public offering with multiple interest rates this year. This means that investors can subscribe to both shorter maturities with lower interest rates and longer maturities with much higher interest rates.