Per a data from the Autonomous Sinking Fund, CAA, Cameroon’s central government’s domestic debt exceeded 3,900.2 billion FCFA in the first quarter of this year, representing a 10.9% increase over one year.
Cameroon’s domestic debt reached 3,900.2 billion CFA francs in the first quarter of 2025, according to data from the Autonomous Sinking Fund known by its French language abbreviation as CAA. The figure represents a 10.9% increase compared to the previous year and now accounts for 12.1% of the country’s GDP. The reported figure does not include unpaid government bills older than three months, known as “restes à payer.” The accumulation of unpaid bills has created financial difficulties for businesses working with the government, particularly in construction, transport and service sectors.
Some companies have reduced operations or laid off workers due to delayed payments from the state. The government acknowledges that budget shortfalls have contributed to these payment delays. During a recent visit to Cameroon in April-May 2025, International Monetary Fund, IMF, officials suggested the government consider new borrowing to address part of the domestic debt. A similar approach was taken in July 2024 when Cameroon borrowed 323.9 billion CFA francs from Citi Group to pay some outstanding debts.
Financial experts note that borrowing conditions have become more challenging, with higher risk premiums and reduced access to international markets. The government faces pressure to restore confidence among creditors and investors while managing growing domestic debt obligations. Cameroon’s economy continues to show growth, officially recorded at 4.5%, but the rising domestic debt highlights ongoing fiscal challenges. Government officials are working to address payment delays and stabilize public finances amid tightening global financial conditions.
