The International Monetary Fund (IMF) Executive Board has concluded the eighth reviews under Cameroon's Extended Credit Facility (ECF) and Extended Fund Facility (EFF) arrangements. This decision allows for an immediate disbursement of SDR 55.2 million, approximately US$75.7 million, increasing total disbursements under these arrangements to SDR 593.4 million or US$793.8 million. Additionally, the Executive Board completed the third review under the Resilience and Sustainability Facility (RSF) arrangement, which makes available SDR 51.75 million or US$71 million, bringing total disbursements to date to SDR 120.75 million or US$162.3 million.
In completing these reviews, the Executive Board approved waivers of nonobservance of certain performance criteria based on corrective actions taken by Cameroonian authorities.
Cameroon's three-year ECF-EFF arrangements were initially approved in July 2021 for a total amount of SDR 483 million, equivalent to US$689.5 million or 175 percent of quota. An extension was granted in December 2023 to provide more time for policy implementation and reforms with an additional access of SDR 110.4 million or US$145.4 million.
Mr. Nigel Clarke, Deputy Managing Director and Acting Chair at the IMF, stated that Cameroon's economy continues to grow modestly with moderated inflation compared to recent peaks. He highlighted that while program performance was mixed, authorities remain committed to program objectives and have implemented corrective measures.
"Cameroon’s economy continued to grow, albeit at a modest pace, and inflation has moderated relative to recent peaks," said Mr. Clarke.
The IMF emphasized the importance of fiscal consolidation beyond current programs for debt sustainability while highlighting key measures aimed at boosting non-oil revenues and improving public investment management.
Mr. Clarke noted that "Cameroon is at high risk of debt distress but its debt is declining and remains sustainable."
Efforts have been made by Cameroonian authorities in maintaining macroeconomic stability amid domestic and external shocks while boosting financial sector resilience through bank recapitalization efforts.
Mr. Clarke added that governance reforms are necessary alongside strengthening anti-money laundering regimes as Cameroon aims for private sector-led growth and reintegration into international initiatives like FATF 'grey' list removal.
The IMF also acknowledged progress made by Cameroon in tackling climate change risks through improved frameworks intended to enhance resilience against climate shocks.