Cameroon has raised CFA8.65 trillion from capital markets since 2010, focusing on the money market after launching its first bond. The country has garnered CFA1.2 trillion from the Central African Stock Exchange and CFA6.2 trillion from the BEAC market, emphasizing cost-efficient and flexible financing options for public projects.
Cameroon has successfully raised CFA8.65 trillion from capital markets since December 2010, beginning with its inaugural bond issue on the Douala Stock Exchange (DSX). This significant financial milestone was reported on February 27, 2025, by Samuel Tela, the Treasury Director at the Ministry of Finance, during a seminar focused on structured financing for infrastructure development.
In the last 15 years, Cameroon’s Treasury garnered CFA1.2 trillion from the Central African Stock Exchange (Bvmac), after it absorbed the DSX, now serving as a unified financial market for six CEMAC countries. Furthermore, CFA1.24 trillion was secured through Eurobond issues and private placements on international financial markets.
The Bank of Central African States (BEAC) boasts that Cameroon has raised over CFA6.2 trillion on the public securities market since its launch in 2011. Such figures underscore the money market’s pivotal role in funding the country’s Treasury, outpacing regional and international financial markets by five times.
Due to financial pressures and the need for development funding, Cameroon redirected its attention to the money market in 2019, a trend mirrored by other CEMAC nations. This strategy emphasizes cost competitiveness, flexibility, and financial prudence, as stated by Samuel Tela. The government now issues assimilable Treasury bonds (OTA), which are characterized by longer maturities and grace periods for repayment.
Moreover, the issuance process for securities on the money market is expedited, with all procedural steps taking as little as 45 days compared to the typical six to eight months for a bond issue. Additionally, using OTA bonds on the BEAC market is economically beneficial, providing an estimated 2% savings on total subscription amounts in comparison to traditional bonds.
In conclusion, since 2010, Cameroon has significantly diversified its funding sources, amassing CFA8.65 trillion through various capital markets. The emphasis on the money market has yielded considerable benefits in terms of flexibility, cost-effectiveness, and swift processing times for fund-raising activities. This strategic pivot has positioned the country favorably within the regional financial landscape, facilitating enhanced infrastructure development.
Original Source: www.businessincameroon.com
