Economy of Cameroun

The economy of Cameroun is mainly agricultural. The principal commercial cultures are the cocoa, coffee, tobacco, cotton and the bananas. Oil represents more half of exports.

With the beginning of the year 1980, Cameroun was among the African countries most prosperous from an economic standpoint. The following years were remembered by a strong recession. One of the causes is the fall of the courses of the coffee, cocoa and of the oil which led to a deterioration of the terms of trade.
The regime change in 1982, arrived of Paul Biya at the presidency, led to the installation of many close relations of the new president to the head of the public large companies more known for the policy than for their competences of gestionnaire.
It followed from there a systematic plundering of the public thing which led many companies to the faillite.
The privatization process of the public credits, starting from the middle of the Nineties allowed the safeguard of part of these entreprises.
Nevertheless, corruption, the legal insecurity and the programme of structural adjustment per rise of the output of the tax, make risky the investment in the pays.
Tourism, officially encouraged, is not able to develop, penalized by the unreliability of the national airline company (Camair), the irritating red tapes and police whose the possible tourists and the geographical distance of Europe are victims.

Economic indicators

Purchasing power parity (PPP): 31,5 billion dollars (estimate 1999)
Number of households having a capacity of yearly consumption in PPP (CRY source):

Higher than 30.000 euros: 136.000 (that is to say 5% of the households)
Higher than 15.000 euros: 245.000 (that is to say 9% of the households)
Lower than 5.000 euros: 1.250.000 (that is to say 46% of the households)

Returned per capita (in PPP): 2000 dollars (estimate 1999)
Distribution by branches of industry:

agriculture: 42% (60% of the active population)
industry: 22%
services: 36% (estimate 1997)

Unemployment

There does not exist really reliable statistics on the Chômage in Cameroun. Thus, the national institute of the statistics evaluates unemployment rate (with the direction the ILO) with 4,4% per 2005 (against 7,2% per 2001), whereas World Wactbook published by the CIA gives a report on an unemployment rate of about 30%. According to another studies of the INS going back to 2001, unemployment rate in 2001, would be of 8,2% (17,6% downtown) against 9,5% (20,3% downtown) in 1995.

The difference between the various estimates can be explained by the car-employment of the unemployed in small marketing activities (phenomena of the Sauveteur S), which perhaps regarded as an activity of survival in layoff.

In its study, the INS notes that nearly 70% of the workers gain less than the minimum wage, that is to say 23500 Fcfa (40 euro).

The fight against unemployment in Cameroun is entrusted to the Ministry of Labor and the Fonds national of employment (FNE).

Companies

Primary sector

Production of Cameroun (Source BEAC)

Agriculture

Fish

Approximately 64.000 tons of fish are fished each year off the Cameronian coasts.

Extractive activities

Cameroun has been confronted for twenty years with the fall of its oil reserves. No significant new reserve was still made which can reverse the tendency in the long term.

Oil industry was the engine of the growth of the country during the years 1965-1985.

Forestry development

Secondary industry

Manufactured goods (in tons)

Textiles

The turnover for 96/97 in progress should make it possible to reach 24.000 million F CFA against 20379 million F CFA at the end of June 1996. That is to say a progression of 18% due to a large extent to the good behavior of the sales of loincloth, and to the maintenance of the market shares on the other lines of products.

Aluminum

All in all, the industrial activity was positive during 1995-1996. The production at the foundry (where aluminum is conditioned in ingots and plates loan with the sale) protested with 86.131 tons against 92.798 tons with the budget, and 86.995 tons the preceding exercise: sales rising with 80.275 tons; that is to say a progression of 2% compared to those of 1994-1995 (78 693 T).

Soap, detergent, salt

Since the devaluation, the production in the sector of the soap increases each year of about 8% and this is due to the significant drops of the fraudulent imports coming from close Nigeria.

Glycerin

It represents a carrier sector. It is a new product for the country which has known a progression for two years of more than 14%.

Cement factory

The global offer of cement (local production and importation) increased at the time of the first eleven months of the year of about 1,20%. What is not particularly significant. The local sales are in light regression (1,1%) and the sales with export in relatively important increase (+12%).

Shipyards and industrial of Cameroun, CNIC

All in all, 1996-1997 was marked by an increase in the turnover of about 20% compared to the last exercise. The number of ships repaired during 96-97 is in progression compared to the last exercise passing from 147 to 170 ships.

Oil products

The market oil downstream is a market which fluctuates according to the smuggling of Nigeria. He knew an increase at the 12/31/96 of about 3% compared to 1995; maybe in volume 913.606 m3. Changes of price took place in 1996 and involved an increase in price to the pump from approximately 12% on average, which had an negative impact in consumption.

BTP

In spite of a shy person improvement of the activities since the beginning of the year, the sector remains in a crisis and it awaits the starting of work of the pipeline Chad - Cameroun.

Tertiary sector

Financial sector

There exist 10 trade banks and 6 financial institutions of first order.

The banks are overall in surliquidity.

The reorganization of the banking environment made it possible to cleanse a situation made very difficult by the 10 years of crisis, where the banks, at the time nationalized, were forced to agree of the appropriations of kindness.

Today rate of saving ranges between 14% and 15% of the GDP in spite of the virtual non-existence of the financial system (the Stock Exchange of Douala has just been installation).

Tourism

Tourism remains a sector underdeveloped in Cameroun. In 1999, the OMT raised 135.000 visitors spending one night or more in Cameroun, the General delegation with the national security of Cameroun makes state as for it of 117.113 foreign visitors in Cameroun in 2001.

The causes of this underdevelopment are multiple: absence of political will, reliability and cost of the national airline company, irritating red tapes and policères, lack of infrastructure, bad reception on behalf of the population.

The principal tourist sites of the country are north-Cameroun (national park of Waza) and the area of Limbe, in the west of the country.

Administrative heavinesses

Cameroun is penalized economically by the heaviness of its administration. Thus, one estimates at 444 days the time necessary to create a company with the Cameroun, because of paperwork and of the administrative procedures.

In addition, it takes approximately 10 days to export a container of goods of the ports of Douala, Limb or Kribi and 51 days for an importation.

International agreements

Cameroun is member of the Banque of the States of central Africa (BEAC), of the Economic community and monetarist of central Africa (CEMAC), of the the Commonwealth (since November 1995).

See too

related Articles

List of Cameronian companies

external Bond

economy in short, on the site of Banque de France
Principal economic indicators and financial on izf.net
Gate of transport in Cameroun

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