Cameroon attracted CFAF 332 billion in foreign direct investment (FDI) in 2025, according to the latest report by the United Nations Conference on Trade and Development (UNCTAD). Despite a sharp decline in inflows, the country remained Central Africa’s leading destination for foreign capital.
The country received USD 599 million in FDI during the year, equivalent to about CFAF 332 billion, down from USD 925 million, or CFAF 532 billion, in 2024. Despite the decline, Cameroon moved ahead of Chad, which had led the regional ranking the previous year, and became the largest recipient of foreign investment in the Central African sub-region.
This performance came as investment flows weakened across both the continent and the sub-region. UNCTAD data show that FDI inflows to Africa fell from USD 94 billion in 2024 to USD 70 billion in 2025. Central Africa was also affected, with inflows declining by 21 percent, from around USD 6 billion to USD 4.8 billion over the same period.
According to the report, the regional downturn was largely linked to Central Africa’s dependence on natural resources, particularly hydrocarbons and mining, where reduced activity contributed to lower capital inflows during the year.
Cameroon’s decline was attributed by economist Patrice Ongono to a combination of domestic and external factors. He pointed to a business climate that remains challenging, as well as tighter monetary policies in developed economies, where higher interest rates introduced to curb inflation have increased the cost of financing foreign investment.
Ongono nevertheless said Cameroon’s leading position reflects the structure of its economy. Unlike several countries in the sub-region that remain heavily dependent on petroleum and extractive industries, Cameroon has a relatively diversified economic base, making it less exposed to fluctuations tied to the development of new oil fields or mining sites.
The UNCTAD findings therefore underscore the importance of economic and investment diversification at a time when capital flows are becoming more selective and resource-dependent economies are facing greater volatility.
To strengthen Cameroon’s attractiveness, Ongono called for continued modernization of the business environment, a stronger legal framework for investment and greater promotion of non-extractive sectors. The report also points to the development of industrial zones and the expansion of productive infrastructure as important factors in attracting and retaining foreign capital as competition for investment intensifies across Africa.
Mercy Fosoh
