Financing: Cameroon mobilized 388 billion CFA francs from its partners in the 1st quarter of 2024

Cameroon has also seen success in raising funds on the public securities market of the Bank of Central African States (BEAC), with a significant annual increase in funds raised through this channel. The country’s domestic debt, excluding payables In the first quarter of 2024, Cameroon demonstrated remarkable economic resilience and strategic financial management by mobilizing 388 billion CFA francs from its partners. This financial mobilization is a testament to the country’s robust economic policies and the confidence of its international partners in its economic governance.

The fund mobilization is a part of Cameroon’s broader economic strategy to bolster its financial resources to support various developmental projects and reforms. Among the notable contributions is the substantial grant of 39.3 billion CFA francs from Germany, aimed at enhancing sustainable management of natural resources, rural development, governance, decentralization, peace, social cohesion, health, social protection, and demographic policy.

Cameroon’s efforts to raise funds on the public securities market of the Bank of Central African States (BEAC) have also been successful, with a significant annual increase in funds raised through this channel. The country’s domestic debt, excluding payables over three months, has increased, reaching CFA3,663 billion in Q1 of 2024, up from CFA3,494 billion a year earlier. This rise is primarily attributed to Cameroon’s proactive measures in the public securities market.

The country’s public debt management reflects a careful balance between leveraging financial opportunities and maintaining debt sustainability. With the public debt reaching CFA12,714 billion over the period, which represents 42.9% of GDP, Cameroon stays well below the 70% tolerance threshold set in the CEMAC’s multilateral surveillance criteria. This prudent debt management ensures that the country’s economic growth is not hampered by excessive debt burdens.

Trade partners contributed the majority with 131.8 billion CFA francs, followed by multilateral partners with 32.2 billion CFA francs. Bilateral partners also provided support with 19.5 billion CFA francs, including a loan of 17.7 billion CFA francs from Eximbank China. At the same time, on the public securities market, Cameroon mobilized 204.4 billion CFA francs, with a predominance of assimilable treasury bills (BTAs) to the tune of 182.4 billion CFA francs.

According to Cameroon’s monthly debt outlook at the end of March 2024, published by the Autonomous Amortisation Fund (CAA), the country has mobilized 388 billion CFA francs from its financial partners as of 1er, including 183.6 billion CFA francs in external financing and 204.4 billion CFA francs in domestic financing.

Compared to the same period in 2023 when 178.867 billion CFA francs were mobilized by the country (i.e. 114.67 billion CFA francs in external borrowings and 64.1 billion CFA francs in domestic borrowings), there was an increase of 209.13 billion CFA francs (+116.9%). In detail, the envelope of external financing (mobilized from multilateral, commercial, and bilateral financial partners) mobilized over the first three months of the year amounts to 183.6 billion CFA francs, compared to 114.7 billion CFA francs in the same period in 2023, an increase of 68.9 billion CFA francs (60%). The increase observed here can be attributed to loans mobilized from trading partners, which occupy 78.2% of the resources collected over the period under review, i.e. 131.8 billion CFA francs in absolute value.

The third category of external financial partners includes bilateral partners. Loans disbursed in the first quarter amounted to 19.5 billion CFA francs (2.6%) compared to 8.5 billion CFA francs in the same period in 2023, a decrease of 19 billion CFA francs (-49.3%). This sub-category is supported by the debt of 17.7 billion CFA francs contracted by the country with Eximbank China (15 billion CFA francs in January and 2.6 billion CFA francs in February). Cameroon also received financial support from Germany, India, and Japan with 768 million, 617 million, and 392 million CFA francs, respectively.

Regarding domestic resources, i.e. mobilized on the BEAC public securities market, Cameroon received 204.4 billion CFA francs, including 31.2 billion CFA francs for March alone. Year-on-year, the performance recorded here is up by 140.3 billion CFA francs (21%). BTAs account for 89.2% of domestic financing.

In summary, Cameroon’s strategic approach to financing and debt management is crucial for its continued economic growth and development. The mobilization of 388 billion CFA francs from its partners in the first quarter of 2024 is a clear indication of the country’s commitment to strengthening its economy and building a resilient financial foundation for the future. three months, has increased, reaching CFA3,663 billion in Q1 of 2024, up from CFA3,494 billion a year earlier. This rise is attributed to Cameroon’s proactive measures in the public securities market.

Cameroon’s public debt management ensures that the country’s economic growth is not hampered by excessive debt burdens. With the public debt reaching CFA12,714 billion over the period, which represents 42.9% of GDP, Cameroon stays well below the 70% tolerance threshold set in the CEMAC’s multilateral surveillance criteria.

Cameroon mobilized 388 billion CFA francs from its partners in Q1 of 2024, including 183.6 billion CFA francs in external financing and 204.4 billion CFA francs in domestic financing. Trade partners contributed the majority with 131.8 billion CFA francs, followed by multilateral partners with 32.2 billion CFA francs. Bilateral partners also provided support with 19.5 billion CFA francs, including a loan of 17.7 billion CFA francs from Eximbank China.

In the first three months of 2024, Cameroon successfully mobilized external financing of 183.6 billion CFA francs, an increase of 68.9 billion CFA francs (60%) compared to the same period in 2023. This increase can be attributed to loans mobilized from trading partners, which occupy 78.2% of the resources collected over the period under review.

In the first quarter of 2024, Cameroon demonstrated remarkable economic resilience and strategic financial management by mobilizing 388 billion CFA francs from its partners. This financial mobilization is a testament to the country’s robust economic policies and the confidence of its international partners in its economic governance.

The fund mobilization is a part of Cameroon’s broader economic strategy to bolster its financial resources to support various developmental projects and reforms. Among the notable contributions is the substantial grant of 39.3 billion CFA francs from Germany, aimed at enhancing sustainable management of natural resources, rural development, governance, decentralization, peace, social cohesion, health, social protection, and demographic policy.

Cameroon’s efforts to raise funds on the public securities market of the Bank of Central African States (BEAC) have also been successful, with a significant annual increase in funds raised through this channel. The country’s domestic debt, excluding payables over three months, has increased, reaching CFA3,663 billion in Q1 of 2024, up from CFA3,494 billion a year earlier. This rise is primarily attributed to Cameroon’s proactive measures in the public securities market.

The country’s public debt management reflects a careful balance between leveraging financial opportunities and maintaining debt sustainability. With the public debt reaching CFA12,714 billion over the period, which represents 42.9% of GDP, Cameroon stays well below the 70% tolerance threshold set in the CEMAC’s multilateral surveillance criteria. This prudent debt management ensures that the country’s economic growth is not hampered by excessive debt burdens.

Trade partners contributed the majority with 131.8 billion CFA francs, followed by multilateral partners with 32.2 billion CFA francs. Bilateral partners also provided support with 19.5 billion CFA francs, including a loan of 17.7 billion CFA francs from Eximbank China. At the same time, on the public securities market, Cameroon mobilized 204.4 billion CFA francs, with a predominance of assimilable treasury bills (BTAs) to the tune of 182.4 billion CFA francs.

According to Cameroon’s monthly debt outlook at the end of March 2024, published by the Autonomous Amortisation Fund (CAA), the country has mobilized 388 billion CFA francs from its financial partners as of 1er, including 183.6 billion CFA francs in external financing and 204.4 billion CFA francs in domestic financing.

Compared to the same period in 2023 when 178.867 billion CFA francs were mobilized by the country (i.e. 114.67 billion CFA francs in external borrowings and 64.1 billion CFA francs in domestic borrowings), there was an increase of 209.13 billion CFA francs (+116.9%). In detail, the envelope of external financing (mobilized from multilateral, commercial, and bilateral financial partners) mobilized over the first three months of the year amounts to 183.6 billion CFA francs, compared to 114.7 billion CFA francs in the same period in 2023, an increase of 68.9 billion CFA francs (60%). The increase observed here can be attributed to loans mobilized from trading partners, which occupy 78.2% of the resources collected over the period under review, i.e. 131.8 billion CFA francs in absolute value.

The third category of external financial partners includes bilateral partners. Loans disbursed in the first quarter amounted to 19.5 billion CFA francs (2.6%) compared to 8.5 billion CFA francs in the same period in 2023, a decrease of 19 billion CFA francs (-49.3%). This sub-category is supported by the debt of 17.7 billion CFA francs contracted by the country with Eximbank China (15 billion CFA francs in January and 2.6 billion CFA francs in February). Cameroon also received financial support from Germany, India, and Japan with 768 million, 617 million, and 392 million CFA francs, respectively.

Regarding domestic resources, i.e. mobilized on the BEAC public securities market, Cameroon received 204.4 billion CFA francs, including 31.2 billion CFA francs for March alone. Year-on-year, the performance recorded here is up by 140.3 billion CFA francs (21%). BTAs account for 89.2% of domestic financing.

In summary, Cameroon’s strategic approach to financing and debt management is crucial for its continued economic growth and development. The mobilization of 388 billion CFA francs from its partners in the first quarter of 2024 is a clear indication of the country’s commitment to strengthening its economy and building a resilient financial foundation for the future.