Cameroon prepares to launch a new bond

After those of 2010 and 2013, the State of Cameroon could in the next few days, return to the domestic financial market.

In the corridors of the Ministry of Finances (Minfi) and those of some banks in the city, information flowing indicates that the State of Cameroon is preparing to launch a bond. Till it is confirmed, sources at the Minfi leaked that the loan may amount to 150 billion F, amount confirmed by an official at commercial bank society in Cameroon.

SCB Cameroon would have been chosen to arrange the operation. This, following the call for tenders launched by the Minister of Finance (Minfi), July 23 for the recruitment of an investment service provider (PSI) to accompany the Government in the arrangement and placement of a bond on the State of Cameroon for the period ranging from August 13 to November 13, 2014.

According to a source in the credit institution, a training seminar bringing together all the principal financial institution agency was summoned in Douala Saturday in that effect to those responsible for this operation and its process.

For the time being, these are the preparations for the launching of the operation. Minfi, revealed that nothing has yet been finalized about the loan.

"The folder is being signed at the Ministry of procurement. This loan is expected in 2014 Finance Act" adds our source. This new operation will bring to three the number of bonds issued by the State of Cameroon since 2010.

It only remains for us to know the projects to be funded by this new loan. Meanwhile, the State continues to increase its presence on the capital market.

Since the beginning of this year, 130 billion have already been mobilized on the money market of the BEAC (F 120 billion) in the form of Treasury bills amounting to finance the deficit of the State Treasury. And 10 billion collected in the form of fungible Treasury bonds for three highway projects in the city of Yaoundé.