In-Depth Analysis
Cameroon
Cameroon is a country with abundant natural resources, but the cumbersome business environment and infrastructure gaps are major obstacles. The centralised power structure keeps political risk elevated while insecurity in the restive Anglophone regions remains a perennial concern.
The dual shocks of the Covid-19 pandemic and the collapse of international oil prices are expected to have a severely negative impact on the continent’s oil exporting economies. In this regard, Cameroon looks set to face considerable challenges this year. Although the Cameroonian economy is relatively less dependent on its oil sector than some of its regional counterparts, oil export receipts still represent an important source of foreign exchange and fiscal revenue. Meanwhile, Covid-19 containment efforts have led to severely depressed external and domestic demand conditions, which will take time to recover. We project a 2.0% economic contraction this year, unchanged from our previous report, but much weaker than an expansion of 3.8% recorded in 2019. We maintain our overall political risk assessment unchanged at high with the trend stable, as the risk of uncertainty – if the unwell President Paul Biya should suddenly pass away – is factored into our assessment. There has been no improvement in corruption, stability or policymaking over the past year. (Source: Cameroon Annual Country Profile, July 2020.)
Macroeconomic Data
(2019)
|
Fiscal Balance (as a % of GDP) |
-2.3 |
|
Consumer Price Index (% change y-o-y, avg) |
2.5 |
|
Current Account Balance (as a % of GDP) |
-4.0 |
|
Real GDP (annual % change) |
3.8 |
|
GDP per Capita, US$ |
1,497.3 |
|
Import Cover (months) |
5.1 |
|
Population, million |
25.9 |
| Total External Debt (as a % of GDP) |
32.4 |