Cameroon’s economic growth to remain at 5.5 percent - IMF

Cameroon’s economic growth is expected to remain at about 5.5 percent annually over the medium term under current policies, while inflation is projected to remain at 3 percent, according to the International Monetary Fund (IMF).

In a statement released on Friday, the IMF said Cameroon’s oil exports will be sustained by volume growth, although prices are projected to decrease gradually. Large public investment projects in infrastructure will continue to support non-oil growth over the next few years,the communiqué added.

It explained that the private sector’s response to the new infrastructure is expected to take over as the main driver of growth thereafter, assuming a significant improvement in the business environment.

The Washington-based Fund revealed that fuel subsidies and a weak revenue effort continue to undermine a more pro-poor and pro-growth budget, and limited progress in improving the business environment stymies the advent of the formal private sector.