Yaoundé - 13 April 2024 -
Public management

Cameroon: President increases family allowances and public sector salaries

Cameroon: President increases family allowances and public sector salaries
  • Comments   -   Thursday, 22 February 2024 14:45

(Business in Cameroon) - Cameroon’s President Paul Biya signed two decrees yesterday approving the increase in both family allowances and the salaries of public sector employees. The fist decree concerns family allowances provided by the National Social Insurance Fund and the Ministry of Finance, which the President raised to CFA4500 monthly per dependent child. This adjustment represents a more than 60% increase from the previous rate of CFA2800 FCFA, reflecting a substantial boost in support for workers' families.

The second decree issued by President Biya enhances the basic monthly salary of both civilian and military personnel by 5%. This latest raise, coming just a year after a 5.2% increase in 2023, took effect from February 1, 2024, according to an official statement signed by Magloire Séraphin Fouda, the Secretary-General of the Prime Minister's office.

This salary adjustment was part of a series of measures aimed at preserving purchasing power in response to a 15% hike in fuel prices in February. As a reminder, the cost per liter of super and diesel climbed to CFA840 and CFA828, respectively.

Although useful, these increases in salaries and allowances may have a limited impact on people's purchasing power. According to a report on inflation trends in 2023 and outlooks for 2024, released on February 13, 2024, by the National Institute of Statistics (INS), fuel price increases are expected to directly or indirectly affect other prices, including transportation, foodstuffs, and manufactured goods. The national statistician predicts that the inflation rate will stabilize around 7% in 2024, while the government aims to reduce this rate to 4%, down from 7.4% in 2023.

Furthermore, these raises are expected to increase state personnel expenses. According to the 2024 Finance Law, these expenses are projected to reach CFA1,698 billion, marking an 8.1% increase over the previous year. The budget includes projected salaries of CFA1,357 billion, pensions of CFA269.7 billion, and other personnel expenses amounting to CFA71.3 billion.

Nigerian airline Air Peace has expanded its operations in Cameroon with the opening of a new flight route from Abuja, Nigeria's capital, to Yaoundé, the...
The Cameroonian Ministry of Commerce announced yesterday a significant reduction in rice prices effective Friday. This price adjustment follows the...
Cameroon, grappling with a chronic shortage of palm oil production, exported 657.3 tons of the commodity in 2022. This export generated about 713.6...
Cameroon’s trade deficit has significantly worsened from 2017 to 2022, totaling a loss of CFA256 billion over the six-year period, according to the...

Mags frontpage

Business in Cameroon n110: April 2022

Covid-19, war in Europe: Some Cameroonian firms will suffer

Albert Zeufack: “Today, the most important market is in Asia”

Investir au Cameroun n120: Avril 2022

Covid-19, guerre en Europe : des entreprises camerounaises vont souffrir

Albert Zeufack: « Le marché le plus important aujourd’hui, c’est l’Asie »