This program, which extends until March 31, 2025, aims to mobilize financing of a total amount of 145 billion FCFA from investors, reveals the General Directorate of the Treasury of the Ministry of Finance.To achieve this, six long-term securities typically used to finance investment projects issuances are planned, with maturities ranging from 3 to 7 years. For each operation, the amounts to be mobilized will range from 20 to 25 billion CFA francs. The interest rates offered to investors range from 6% to 6.75% for bonds with a maturity of 3 to 5 years, and 7.5% for bonds with a maturity of 7 years. This represents a generous offer from the Cameroonian government as part of this financing operation, particularly with regard to the interest rates offered to investors.Indeed, by offering attractive remuneration ranging from 6% on 3-year bonds to 7.5% on 7-year bonds, the Cameroonian Treasury is adapting to the reality of an increasingly demanding market in terms of investor remuneration. This approach marks a shift in direction for the Cameroonian Treasury, known for its cautious interest rate policy. The proposed rates are significantly higher than those observed a few years ago, as evidenced by the yield curve of Cameroonian public securities, which indicated rates of 5.23% for 3-year bonds and 6.28% for 7-year bonds in December 2021. This development reflects the Treasury's willingness to take into account investors' expectations and maintain the attractiveness of the Cameroonian public securities market.Since the end of 2021, the implementation of a strict monetary policy by the BEAC, intended to curb inflation by limiting bank liquidity, has led to a sharp increase in borrowing costs on the public securities market.Regarding the Fungible Treasury Bonds, the average cost of Cameroon's issues on the central bank market was established at 7.2% in September 2023. According to the report on monthly statistics of the Treasury bond market published by the Cellule de règlement et de conservation des titres of the Bank of Central African States (BEAC), this was the highest average cost for medium and long-term bonds in Cameroon since the launch of the BEAC bond market in 2011.Notwithstanding the hike in interest rates offered to investors due to tough market conditions, Cameroon remains the country with the lowest borrowing costs on the CEMAC monetary market. This is attributed to the credibility of its signature, which fosters investor confidence. Cameroon's ability to manage its debt servicing costs on the capital market, as seen in its pioneering multi-rate bond issue in 2023, further reinforces this credibility. Despite market headwinds, Cameroon has maintained relatively low interest rates, enabling it to meet its financing needs without unduly straining its budget. This testifies to the resilience of its economy and its capacity to navigate the complexities of the financial market.Indeed, since the launch of the public securities market in 2011, the Cameroonian public treasury has recorded no payment defaults, according to the Ministry of Finance¹. The country has always managed to repay its loans on time, emphasizes Minister Motazé. This performance testifies to Cameroon's credibility and solvency in the public securities market

Christelle koambi