The Executive Board of the International Monetary Fund (IMF) completed the fourth review of the arrangement under the Extended Credit Facility (ECF) for Cameroon on July 17, 2019. The completion of the review enables the disbursement of SDR 55.2 million (about US$76.2 million), bringing total disbursements under the arrangement to SDR 372.6 million (about US$514.5 million).
The Executive Board also approved the authorities’ request for a waiver for the non-observance of the performance criteria pertaining to the external arrears’ accumulation and the ceiling on net BEAC financing, based on the corrective actions taken by the authorities.
Cameroon’s three-year arrangement was approved on June 26, 2017 for SDR 483 million (about US$666.9million, or 175 percent of Cameroon’s quota—see Press Release No.17/248.) The arrangement aims at supporting the country’s efforts to restore external and fiscal sustainability and to lay the foundations for a more sustainable, inclusive and private sector-led growth.
Following the Executive Board discussion, Mr. Mitsuhiro Furusawa, Deputy Managing Director and Acting Chair, made the following statement:
“Cameroon’s performance under the ECF-supported program has improved from a year ago. Most end-December 2018 targets including on the fiscal deficit have been met, and structural reforms are advancing.
Cameroon continues to play a leadership role in the rebuilding of CEMAC’s fiscal and external buffers. Going forward, the Cameroonian authorities’ continued support of the implementation of the BEAC’s foreign exchange regulation will be essential to ensure full repatriation of foreign exchange receipts.
Enhanced fiscal discipline is key to reaching the end-2019 program targets and mitigating risks from external shocks and security challenges. Reducing recourse to exceptional spending procedures and completing the Treasury Single Account reform will support the steadfast implementation of the 2019 budget while improving cash management and the transparency of budget execution.