The 2025 Cameroon Economic Update, titled "Cameroon’s Green Gold: Unlocking the Value of Forests and Natural Capital," provides an analysis of the nation's economic developments and outlook. The report highlights the importance of sustainable management of forests and natural resources for inclusive development.
The report notes that global economic growth stabilized in 2024, aided by easing inflationary pressures. Cameroon's real GDP grew by 3.5% in 2024, driven by higher cocoa prices and improved power supply. Inflation decreased from 7.4% to 4.5%, while the current account deficit declined due to rising cocoa bean prices.
Looking forward, the medium-term outlook is moderately positive but faces uncertainties due to geopolitical tensions and trade policy shifts. Real GDP growth is projected to increase to 3.9% over 2025-2028, supported by improved power supply and public investment.
Average inflation is expected to decline further, reaching the CEMAC convergence criterion by 2027. The fiscal deficit is projected to rise moderately due to declining oil revenue, with a high risk of debt distress due to liquidity issues.
The report also emphasizes wealth accounting for sustainable forestry management. Despite overall growth in total wealth reaching $553 billion in 2020, national wealth per capita declined by 11% between 1995 and 2020.
Cameroon's adjusted net savings were moderately negative between 2010 and 2020, indicating depletion of wealth faster than asset accumulation. Forest depletion accelerated after 2010, with significant conversion of lowland forests into forest-farm mosaics.
To minimize environmental impact and preserve natural wealth, Cameroon should prioritize vulnerable ecosystems and transition to a forest-based service economy. Recommendations include integrating forest condition metrics into land-use systems and investing in natural capital accounting.