Cameroon’s Minister of Economy, Planning and Regional Development, Alamine Ousmane Mey and World Bank Country Director for Cameroon, Abdoulaye Seck, have signed a $200 million Development Policy Credit (DPC), which aims to strengthen fiscal sustainability, enhance competitiveness.
In a statement, the Bank explained that his operation, the second in a series of three, is aligned with Cameroon’s economic growth, poverty reduction, and reform priorities as set forth in its long-term development agenda, Vision 2035.
“Cameroon’s ambitious fiscal consolidation efforts and structural reforms are showing positive results,” said Seck.
Seck added: “With this program, Cameroon is expected to address critical bottlenecks to foster inclusive growth and ensure that the poorest households are not left behind.”
Cameroon’s GPD growth rate is estimated at 4.2% in 2019, compared to 4.1% in 2018.
Growth momentum has been driven by an increase in gas production, a slower contraction in the oil sector, continued dynamism in construction, and a robust service sector.
More specifically, the program will support efforts to rationalise and reduce tax expenditures, broaden the nonoil tax base, increase the efficiency of public procurement, improve civil-service management, greater financial sustainability of the energy sector, improved road maintenance, a more climate-resilient road network, improved performance of logistics platforms and supply chains at the Port of Douala, and increased access to health services and protection for the poorest households.
The World Bank supports Cameroon through 15 IDA, IBRD and Trust Funds operations with a net commitment of $1.81 billion, in addition to a comprehensive program of analytical services.
The support contributes to the country’s inclusive and sustainable growth, through the implementation of economic reforms, improvements in agriculture and livestock sectors, energy, transport, healthcare, education and social safety net for the most vulnerable.