IMF approves the 2nd review on the Extended Credit Facility for Cameroon, which paves the way for a disbursement of 44 billion FCFA

(Invest in Cameroon) – The Board of Directors of the International Monetary Fund (IMF) approved, on July 6, 2018, in Washington, the 2nd ^th review of the economic program with Cameroon, assorted Extended Credit Facility (ECF). This approval will enable Cameroon, according to an official statement issued by the Bretton Woods Institution, to receive a new disbursement of $ 77.8 million, or about 44 billion CFA francs.

" Cameroon's performance, under its ECF-supported program, has been mixed in a context of slowing economic activity and security concerns. Expenditure overruns at the end of the year offset the strong non-oil revenue collection, resulting in a higher than expected budget deficit. Nevertheless, the implementation of structural reforms has been generally satisfactory and net foreign assets have accumulated more rapidly than expected, due to a tightening of the current account deficit ", commented during the meeting. Japanese Mitsuhiro Furusawa (photo), deputy managing director of the IMF

As a reminder, at the end of the evaluation of this program in May 2018, the Cameroonian government had been asked to take corrective measures on certain aspects that had not been took away the satisfaction of the IMF team.

Among these agreed measures, Corinne Deléchat, head of the IMF delegation, said the Cameroonian authorities needed to revise the 2018 budget, to take into account the unexpected expenses due to the rising cost of energy subsidies, as well as than the increase in security expenditure; to reinforce expenditure control and ensure transparent and efficient budget implementation, in particular " by strictly limiting the use of exceptional expenditure procedures, and by accelerating the implementation of national laws that implement the main CEMAC directives" relating to the management of public finances "

Concluded on June 26, 2017, for a period of 3 years, the economic program between Cameroon and the IMF provides for the implementation of a certain number of budgetary reforms and global budget support totaling US $ 680.7 million (about 378 billion CFA francs), representing 175% of the country's IMF quota.

Brice R. Mbodiam

See also:

15-05-2018 – Cameroon invited to take corrective measures in its economic program with the IMF