5th bond issue: Cameroon plans 8 new projects, bringing the amount to CFA200bn

(Business in Cameroon) – Cameroonian treasury is finally collecting CFA200 billion, instead of the CFA150 billion requested through the 5th bond issue launched on the Douala Stock Exchange (DSX) for the 2018-23 period, we learnt.

This followed an approval given on November 14 by Jean Claude Ngbwa, head of the financial markets commission (CMF) after the government submitted an over allotment request.

The additional CFA50 billion are expected to finance 8 other projects. In detail, CFA24 billion will be injected in the construction of the 420-MW Nachtigal dam (international lenders have granted CFA800 billion for this project), while CFA5 billion will go for projects of the national electricity transport company (Sonatrel). Another CFA5 billion will be pumped into the construction of the Yaoundé-Douala highway and the Yaoundé-Nsimalen road project will receive CFA4 billion. The Bonépouga-Yabassi road project in the Coastal region will capture CFA2.9 billion, and the second road of the Wouri bridge will receive CFA3.1 billion. CFA2 million will be disbursed to asphalt the Nkolessong-Nding road. Finally CFA3.9 billion will be allocated to the project to open up the country’s agricultural production areas.

Let’s recall that this 5th bond issue has a 5.6% interest rate with a 5-year maturity period.

Brice R. Mbodiam