Cameroon has yet to formally request negotiations with the International Monetary Fund (IMF) on a new economic and financial program, despite plans to secure CFA300 billion in budget support in 2027 that depend on an agreement with the institution. In an interview with Business in Cameroon following the IMF and World Bank Annual Meetings, Finance Minister Louis-Paul Motaze said he had already presented the case for renewed negotiations to Cameroonian authorities. “We are waiting for their response before starting discussions,” he said, without providing a timeline.

The delay has lasted several months. At a cabinet meeting on October 30, 2025, Motaze called for a new IMF program after the previous agreement expired in July of that year. The proposal was expected to be submitted to President Paul Biya for a decision. Nearly a year later, the finance minister continues to support a new agreement, but the government has yet to take the formal steps needed to begin negotiations.

Meanwhile, Central African countries have made several commitments to renew their cooperation with the IMF. On January 22, 2026, in Brazzaville, heads of state from the Central African Economic and Monetary Community (CEMAC) urged member countries to negotiate and conclude new IMF programs or continue those already underway. On March 17, finance ministers and regional institutional officials reaffirmed that commitment during a meeting with their French counterparts in Paris.

Motaze believes Cameroon can hardly remain outside this regional effort. According to the minister, the country accounts for nearly 46% of CEMAC’s gross domestic product (GDP). “What would a CEMAC program look like without Cameroon?” he asked. He said he had already presented this argument to Cameroonian authorities.

CFA300 Billion in Budget Support Remains Uncertain

The lack of formal negotiations contrasts with the government’s budget projections. In its 2027–2029 Medium-Term Economic and Budgetary Framework, published in July 2026, the Ministry of Finance projected CFA300 billion in budget support for 2027, explicitly conditional on the signing of a new IMF program. That amount represents approximately 9.5% of the government’s total financing needs for 2027, estimated at CFA3,161.5 billion. However, the document does not specify how much of the CFA300 billion would come directly from the IMF or how much could be provided by other financial partners.

The government itself acknowledges the potential consequences of failing to secure an agreement. The budget framework states that financing for the 2027–2029 budgets depends partly on support expected under a new program. It identifies the failure to conclude such an agreement as a risk to the sustainability of public finances over the medium term.

Motaze also argues that changes in the international economic environment have made a new IMF program more important. Higher oil prices have increased the cost of fuel subsidies, as the government has chosen to maintain pump prices to protect household purchasing power.

“Given people’s purchasing power, we felt the budget could still support that price,” the minister explained. However, he acknowledged uncertainty over how long international tensions might last. “No one knows how far the crisis will go,” he said.

Under these circumstances, Motaze believes Cameroon cannot afford to forgo budget support that may be available from the IMF, World Bank, France, and the African Development Bank (AfDB). Asked whether the country could reject such financing, he replied: “The answer from a finance minister is no, because I know very well what it costs us.”

Budget Targets May Need Adjustment

The finance minister also believes Cameroon has a strong case for securing a new agreement. He pointed to the approval of the various reviews under the previous IMF program and the country’s public debt level. “Fortunately for Cameroon, the conditions set by the IMF have been met,” he said. “Our debt is under control because it is below 45% of GDP,” Motaze added, without specifying the reference period. The government’s budget framework places public debt at 44.7% of GDP at the end of March 2026, but projects that ratio will rise to 50% in 2027.

The IMF’s assessment is more cautious. In July 2025, its Executive Board completed the eighth and final review of Cameroon’s previous program, while granting waivers for noncompliance with certain fiscal performance criteria. Following a post-financing assessment mission in September 2026, IMF staff again classified Cameroon as facing a high risk of debt distress.

Another challenge concerns Cameroon’s fiscal targets for 2027. The presidential budget circular issued on October 12, 2026, projects an overall fiscal deficit, including grants, of 2.7% of GDP. Meanwhile, the 2027–2029 budget framework sets the CEMAC reference fiscal balance at -2.3% of GDP, compared with the minimum threshold of -1.5% required under regional rules. This reference balance, which takes into account oil revenue over several years, is a separate measure from the overall fiscal deficit.

According to an authoritative source interviewed in Yaoundé by Business in Cameroon on September 28, 2026, compliance with the 1.5% threshold by CEMAC member countries would also be a condition for concluding new IMF programs in the region. The source claimed that a breach by even one member state could prevent all countries from securing new agreements. However, no publicly available IMF document has confirmed such a collective requirement in those terms.

Cameroon therefore faces two pending decisions: whether to authorize formal negotiations with the IMF and how to establish a fiscal path consistent with its regional commitments. Without a new agreement, the CFA300 billion in budget support projected for 2027 remains uncertain.

Source: Business in Cameroon